Egypt launches first National Startup Charter to accelerate innovation and investment

Egypt’s recently launched the first National Startup Charter (“Charter”) which marks an ambitious bid to grow the country’s entrepreneurial ecosystem. Unveiled in early February 2026 by the Egyptian government, the Charter promises to support 5,000 startups mobilise USD 1 billion in funding, and generate 500,000 jobs over five years.

This roadmap offers clear definitions, incentives, and streamlined processes, positioning Egypt as a leader in innovation.

Introduction of “Startup” definition

At its core, the Charter introduced Egypt’s first official definition of a Startup as: 

1. A newly established company (less than 7 years since incorporation); 
2. Built on tech or intellectual property;
3. Has an “investment ready” legal structure; 
4. Provides innovative products, services, or models; 
5. Has a potential to scale and potentially grow; and 
6. Addresses a clear market need. 

Main pillars of the Charter 

1.    Regulatory & procedural support

The Charter introduced a unified regulatory guide including details on government services, permits, licenses, fees, required documents, and procedures relevant to startups, through an online platform comprehensive of all regulatory needs covering permits, taxes and IP protection.

The Charter also established the “Scale-up Champions” programs, aiming to assist already established Startups grow even bigger, allowing to create more “unicorn” companies worth over USD 1 billion, all while supporting global market entry and offering “soft landing” help, like office space and local guidance for Startups from abroad starting up in Egypt. 

2.    Financing initiatives

The Charter proposed a unified financing initiative to coordinate available financing resources among government entities and leverage innovative mechanisms (e.g., guarantees, co-investments) aiming to mobilise up to USD 1 billion or more over five years for startups.Government Ecosystem Support

3.    Government ecosystem support

The Charter included several actions: 

• Supporting regulatory facilitation and entry to market.
• Encouraging collaboration between the public sector and startups (i.e digital solutions contracts).
• Developing talent locally.
• Facilitating foreign talent visas and easing rules for talent hiring.
• Promoting startup integration into supply chains and international exposure. 

4.    Monitoring & evaluation

The Charter also established a policy observatory/monitoring body to track implementation progress, gather data, and issue periodic reports that inform decision-making and improve execution. 

Main incentives and facilitation measures

The Charter introduced a couple of incentives and facilitation measures for the startups such as: 

1. Establishing a simplified tax procedure that incentivizes startups (issuance of law No. 6 of 2025 on the simplified tax system for startups); 
2. Establishment of specialized tax offices for companies that obtained the Startup Classification Certificate; 
3. Provide a dedicated email address for communication with labour offices and social insurance offices for the certified companies; 
4. Facilitating importation procedures of electronic equipment, components and technological devices for the certified companies; 
5. Facilitating liquidation of startups so that all procedures are finalised within 90 days; 
6. Facilitating startup access to governmental tenders; 
7. Certified companies are allowed to receive partial support for costs associated with training employees; 
8. Providing subsidised services to industrial startups;
9. Exemption from IP filling fees; 
10. Startups are allowed to employ more than 10% of their labour as foreign employees. 

Startup Label

In order to qualify for the program and the incentives that are going to be issued a company should apply to obtain a Startup Classification Certificate from the Micro, Small and Medium Enterprise Development Agency (“MSMEDA”), which enables startups to secure an official startup label (“Startup Label”) via fast-track (5 days) or regular (14 days) process. 

How can we help?

Clyde & Co’s Cairo office has established a dedicated platform designed to support startups in navigating the Charter framework.

With a clear understanding of the unique challenges and opportunities facing emerging businesses, we have developed this initiative to provide startups with access to a range of tailored legal services with innovative pricing that takes into account the peculiarities of startups. Our approach reflects a practical appreciation of founders’ expectations and the evolving landscape in which startups grow and scale.

If you are a startup founder, we would be delighted to connect and discuss how our team can support your entrepreneurial journey in Egypt and contribute to the sustainable growth of your business.