Egypt, Saudi Arabia to cooperate in avoiding double taxation

CAIRO – 5 September 2017: President Abdel Fatah al-Sisi issued presidential decree approving agreement between Egypt and Saudi Arabia to avoid double taxation and prevent tax evasion with respect to income taxes.

The initial agreement was signed between both countries in April 2016, when Saudi King Salman bin Abdul Aziz visited Cairo for four days and witnessed the signing of a number of agreements.

The agreements included a cooperation pact in the field of maritime transport and ports, land reclamation and water irrigation.

Saudi investors seemed to be returning to the Egyptian market. Saudi business tycoons Abdulrahman Sharbatly and Sheikh Fahd El-Shobokshi announced last week their intention to invest $2.15 billion in the Egyptian market.

Sharbatly’s son, Hassan Sharbatly disclosed intention to invest $2.15 billion in Sharm El-Sheikh and Hurghada projects in addition to a cement project.

Also, Saudi Prince Al-Waleed Bin Talal pledged new investments in the hotel sector this month. The announced cooperation deal with Talaat Mostafa Group (TMG) carries a total investment volume that exceeds $800 million which will be injected into the hotel sector.

Egypt is working to facilitate investments procedures especially for Saudi investments, in light of the plan of the Egyptian-Saudi Business Council to raise their investments in Egypt to $51 billion in both government and private sector.