Egypt tightens payment rules on real estate sales to foreigners
Egypt is implementing stricter regulations on real estate sales to foreigners, as Egyptian Justice Minister Omar Marwan, presented on Wednesday the measures taken to combat the illegal sale of real estate to foreigners in foreign currency.
During a Cabinet meeting chaired by Prime Minister Mostafa Madbouly, Marwan announced that a circular has been issued by the Real Estate Registration and Notarisation Authority to all its offices, branches, and general departments.
This circular mandates that, for requests submitted starting March 26, 2024, non-Egyptian buyers must provide proof that the payment specified in the contracts has been transferred from abroad in foreign currency to a bank under the supervision of the banking system.
If the contract price is in Egyptian pounds, the equivalent amount in foreign currency must be transferred according to the exchange rate. If the contract price is in foreign currency, approval from the Central Bank of Egypt is required for the sale in foreign currency, as per the law.
Marwan emphasised that the circular instructs real estate registration offices to accept requests and proceed with procedures but not to register the mentioned contracts until the circular’s provisions are fulfilled.
He explained that these measures aim to address instances of illegal real estate sales to foreigners in foreign currency without transferring these amounts to the banking system, in violation of the applicable laws.
