Mahmoud Momtaz, Chairperson of the Competition Protection Agency (CPA), stressed that competitive neutrality will encourage investment and innovation in Egypt, and will raise the gross domestic product by up to 2.5%.
During the second day of the Egyptian Economic Conference on Monday, Momtaz participated in a session on the State Ownership Policy Document. He said that competitive neutrality would increase the production capacity of economic entities by 3.8-4.6%, raising market productivity by 50%.
He added that competitive neutrality policies include tax neutrality, which applies the same tax system to all persons operating in the market when their positions are equal.
Momtaz added that competitive neutrality policies also include debt neutrality, so that all persons operating in the market can obtain capital at the same cost.
It also includes regulatory and legislative neutrality which places all companies in the market, whether state-owned companies or private companies, under the same regulatory framework.
Momtaz said that the CPA developed its 2021-2025 strategy to achieve the goals of Egypt’s Vision 2030 and the sustainable development goals, based on four objectives: the effective enforcement of the provisions of the Competition Protection Law by combating monopolistic practices, limiting legislation, policies and decisions restricting freedom of competition, spreading the culture of competition, and raising institutional efficiency.