New mortgage law to be introduced in Egypt

The Egyptian government is looking to boost its expanding property sector by passing a new mortgage financing law during its next parliamentary session.

Reuters has reported that the bill aims to address problems in the market, such as its conservative lending rules and bureaucratic processes, and develop a more efficient and transparent system.

According to the country's investment minister, Mahmoud Mohieldin, the draft would pass regulatory control of the property sector to the Egyptian Financial Supervisory Authority.

He explained that, under the new rules, independent investors would not be allowed to hold shares in excess of ten per cent in any fund.

"We have a complete law ready to push forward the current mortgage regulations, to have better enforcement and enhance the efficiency of the sector," he added.

If successfully passed, the law could make it easier for investors looking to find property in Muhafazat al Bahr al Ahmar to make their purchase.

Credit Suisse has predicted that housing stocks in the country will outperform neighbouring destinations, Property Abroad reported.

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