Egypt’s Micro, Small and Medium Enterprises Development Agency (MSMEDA) has invested over EGP 2.2 billion in Alexandria since July 2014, supporting 51,000 projects and creating more than 110,000 job opportunities.
The announcement came during a recent high-level meeting between MSMEDA CEO Basil Rahmy and Alexandria Governor Ahmed Khaled.
The funding aims to boost entrepreneurship and industrial development across strategic zones such as Borg El Arab and El-Merghem.
It also aligns with national efforts to bring more MSMEs into the formal economy and empower youth and women through financial and advisory support.
Infrastructure, youth empowerment, and policy support
Of the EGP 2.2 billion in total funding, EGP 102 million was allocated to infrastructure, community development, and training initiatives, contributing over 700,000 workdays.
MSMEDA has also prioritised creating sustainable opportunities for young entrepreneurs, women, and recent graduates by facilitating easier access to loans, technical training, and business development services.
Governor Khaled emphasised Alexandria’s vital role as one of Egypt’s top industrial hubs, reaffirming his administration’s commitment to partnering with MSMEDA to boost economic inclusion.
Together, they aim to integrate more micro- and small-scale businesses into Egypt’s formal economy, enabling them to benefit from tax incentives and government support.
New tax breaks for MSMEs under Law 6 of 2025
A key part of the discussions was the implementation of Law 6 of 2025, which introduces simplified taxation for small enterprises.
Businesses with annual revenues starting at EGP 500,000 will pay a tax rate of just 0.4 percent, while those earning between EGP 10 and 20 million will be taxed at a maximum of 1.5 percent.
The law also exempts MSMEs from various previously mandatory taxes and stamp duties.
MSMEDA, in collaboration with the Ministry of Finance and the Egyptian Tax Authority, is working to educate business owners on taking full advantage of these incentives.
The agency also provides startup capital and support to help informal businesses formalise and scale up.
Direct support and formalisation efforts continue
Five entrepreneurs received direct loan checks at the meeting, while another five were issued business licenses and classification certificates.
These gestures are part of MSMEDA’s broader push to formalise informal projects and guide them into Egypt’s regulated business ecosystem.
With directives from Prime Minister Mostafa Madbouly, who also chairs MSMEDA’s board, the agency is scaling up its outreach across governorates.
The goal is clear: to strengthen MSMEs, foster inclusive economic growth, and position Egypt’s small businesses as a core driver of national development.