Foreign investment may not exceed 45% in economic activities developed in the Sinai peninsula, including the areas locating inside the administrative boundaries of Suez, Ismailia and Port Said. The President, however, has the authority, after the approval of the relevant authorities, to exempt a foreign company working on development projects from such requirement.
"Article 1
In applying the provisions of this Decree-Law, the following terms shall mean the definition shown next to each of them:
1- Sinai Peninsula :
It is the entire governorates of North and South Sinai and the areas located within the administrative borders of the governorates of Suez, Ismailia and Port Said.
2- Region :
The Sinai Peninsula area, the islands within its territorial waters, the continental extension area, the special economic zone, and the adjacent areas to be specified by a decision of the Minister of Defense.
[...]
Article 2
Ownership of lands and real estate built in the zone shall be for natural persons of Egyptian nationality alone, without any other nationalities, and of Egyptian parents, and for Egyptian legal persons whose capital is entirely owned by Egyptians. It is up to the court to rule it out on its own.
If any property (land or real estate) in the area devolved to non-Egyptians by legal inheritance, will or gift, the heirs, bequeathed or donated to them must do the following:
Relinquishing the right of the neck to these notables, and retaining the right of usufruct, whether for themselves or for non-Egyptians, while retaining the ownership of the facilities erected below the land.
Or the disposal of those notables for Egyptians who hold the Egyptian nationality alone and not from any other nationalities and from Egyptian parents. [...]
However, the Board of Directors may, for reasons it deems appropriate, after approval of the Ministries of Defense, Interior and General Intelligence, approve the following :
Owning the facilities built only for natural and legal persons of dual Egyptians and non-Egyptians in the area without the land on which it is built.
Determining the usufruct of non-Egyptians in units for the purpose of residing therein in the region for a maximum period of 50 years.
However, by a decision of the President of the Republic for reasons he deems appropriate, and after the approval of all the bodies referred to in the previous paragraph and the approval of the Council of Ministers, a person with the nationality of an Arab country may be treated the same treatment prescribed for Egyptians in this decision by law with regard to units for the purpose of residence.
It is prohibited to own, usufruct, rent or any kind of disposal of land and real estate in the following areas :
Strategic areas of military importance that may not be owned in accordance with Republican Resolution No. 152 of 2001 regarding strategic areas of military importance that may not be owned.
Contiguous areas in accordance with Presidential Decree No. 444 of 2014 defining the areas adjacent to the borders of the Arab Republic of Egypt and the rules governing them.
[...]
Article 3
The right of usufruct does not arise pursuant to that decision by law on lands and real estate except in accordance with contracts concluded for this purpose, provided that those contracts include the rules and conditions governing that use, in particular the following :
1- The period of the usufruct right should be up to 50 years according to the nature of each activity, and this period may be renewed for other periods so that the total period of the usufruct does not exceed 75 years, after the approval of the board of directors, provided that the usufruct term expires in any of the following cases:
(a) The termination of the legal entity of the usufruct right for any reason.
(b) The death of the beneficiary.
(c) Expiry of the usufruct period without renewal
[...]
Article 4
The investment or development project for non-Egyptians in the region must take the form of an Egyptian joint stock company, in which the Egyptians’ participation rate is not less than (55%). Any change in the names of the founders, the ratios of the partners or their shares, or the amendment of some articles of the contracts, the articles of association, the form of companies, the establishment of new branches of companies in Sinai, the trading of shares in the stock exchange, the offering of securities, and public and private subscriptions, except after the approval of the Board of Directors and obtaining the approvals of the concerned authorities The following (Ministry of Defense - Ministry of Interior - General Intelligence - General Investment Authority - General Authority for Financial Supervision).
However, by a decision of the President of the Republic for reasons he deems appropriate after the approval of the authorities referred to in the previous paragraph and the Council of Ministers based on the proposal of the Board of Directors, an exception may be made from the percentage of Egyptians’ participation in foreign companies that implement integrated development projects in the region as hubs for development in general in various activities, provided that these Companies are obligated not to make any change in the partners’ names, shareholding percentages, or their articles of association until the expiry of their legal entity.
In the event of a need to make any change or modification to the aforementioned, the approval of the Board of Directors and the Ministries of Defense and Interior and General Intelligence must be obtained without prejudice to the controls and provisions stipulated in this Law by Decree, and linking this to the percentage of project implementation in accordance with the submitted time schedule.
Without prejudice to the provision of the first paragraph of this article, it is permissible, after obtaining the approvals of the relevant state agencies, as well as the approval of the board of directors for the aforementioned companies, to :
Registration of companies for trading in the stock exchange inside or outside Egypt.
Offering its securities for public or private subscription. [...]
With the exception of companies excluded by a decision of the President of the Republic, the percentage of securities, capital or shares of companies, establishments and projects for non-Egyptians may not exceed 45%.
It is also permissible, by a decision of the President of the Republic, for reasons he deems appropriate after the approval of the Ministries of Defense and Interior, General Intelligence and the Council of Ministers, based on the proposal of the Board of Directors, to exclude a city or part of it and the coastal areas, as well as development projects related to the development of the Suez Canal axis and economic zones of a special nature located in the region from being subject to the provisions of this decision by law .
[...]
Article 15
The executive regulations of this Decree-Law specify the development and investment areas that can be owned or the right to use them within the boundaries of the region, and the nature of the investment and development areas and activities that can be established in the region." (Law No. 14 of 2012: Concerning the Integrated Development in the Sinai Peninsula (The National Authority for the Development of the Sinai Peninsula) (Prime Minister) [google translation])
Decree-Law No. 14 of 2012 concerning the Integrated Development of the Sinai Peninsula, amended by Decree-Law No. 95 of 2015
[<a href="https://elpai.idsc.gov.eg/Legislations/Item/259688">Law</a>]