It is too early to predict the influence of Brexit on the Egyptian real estate market, said Egyptian Mortgage Association (EMA) board member Mohamed Samir, following Britain’s decision to exit the European Union in a 23 June referendum.
Samir added that the Egyptian government has to make use of Brexit and move forward in achieving development in the sector.
National Real Estate Bank for Development (NRPD) chairperson Mokhtar El-Dahshory said that Brexit will not have any effect on the real estate sector in Egypt.
Britain’s greatest vulnerability is the risk that its real estate sector will be affected by the consequences of Brexit, especially as there are thousands of Arabs who prefer to buy real estate properties in the UK, El-Dahshoury said.
Egyptian real estate is witnessing a significant boom since the country became more stable in 2014 and real estate companies became more competent and cooperative in the execution of new projects, the NRPD chairperson added.
Arab and Gulf real estate investments are the largest affected by the repercussions following Brexit as Gulf investments are widespread across the UK.
Economist and banker Ezz El-Din Hassanein said Egyptian investors have been encouraged to buy properties in London where prices are currently low.
The Egyptian real estate market will not be affected by Brexit in the short term, said the chairperson of the Real Estate Investment Division at Federation of Egyptian Chambers of Commerce (FEDCOC), Mamdouh Badr El-Din.
The state must take decisive measures to stimulate domestic and foreign investment and remove obstacles, he said. Obstacles facing the sector are bureaucracy, a lack of vision, and a lack of facilitated land, among other challenges.