The local gold markets in Egypt are currently experiencing a state of unease, as they eagerly await the Cabinet’s decision on whether or not to extend the initiative that exempts personal gold imports from customs duties.
This initiative, which was set to expire last Friday, has been the subject of intense debate among industry stakeholders, according to Sada El Balad English. The outcome of this decision will have a significant impact on the gold market in Egypt and is being closely monitored by those involved in the industry.
George Tadros, a member of the Gold Division at the Cairo Chamber of Commerce, is worried about the negative impact of extending the duty-free status for gold brought in by returning expatriates, which currently does not include value-added tax, on the local industry. Tadros believes that this initiative was previously implemented to support local gold reserves during a time of increased demand and import restrictions imposed on gold companies. It also allowed Egyptians working abroad to purchase gold when their dollar remittances were declining and the black market was expanding.
The Egyptian Cabinet had approved the extension of Resolution No. 1801 of 2023 last November, granting a customs exemption to gold imports for a six-month period ending on May 10, 2024.
