Just one week after the Egyptian government launched its first-of-its-kind Startup Charter, 99 companies have already applied for the new “Startup ID” classification certificate. The initiative, managed by the Micro, Small, and Medium Enterprises Development Agency (MSMEDA), aims to create a unified definition for startups and provide them with access to a range of financial and regulatory incentives.
The Startup Charter Initiative
Launched by Prime Minister Dr. Mostafa Madbouly on February 7, the Startup Charter is a strategic move to bolster Egypt’s entrepreneurship ecosystem. The charter’s ambitious five-year goals include empowering 5,000 startups, creating approximately 500,000 direct and indirect jobs, and achieving sustainable economic growth.
A core component of the charter is a unified financing initiative designed to coordinate available government funding and leverage it through innovative mechanisms. The program aims to mobilize $1 billion in funding for the startup sector over the next five years, combining government resources, guarantees, and co-investments with venture capital funds and other private sector investment bodies.
Streamlining The Classification Process
To be officially recognized and benefit from the new incentives, companies must obtain a Startup ID certificate. A specialized committee, comprising representatives from the ministerial group for entrepreneurship, VC funds, angel investors, and MSMEDA, is responsible for reviewing applications.
The charter offers two application tracks for the Startup ID: a fast-track process completed within five days and a standard track that takes up to two weeks. Of the 99 applications received in the first week, 16 opted for the fast track, with two companies already receiving initial approval while the rest are under review. Companies can apply through the official portal at www.startup.gov.eg.
A Unified Push For Growth
“MSMEDA is working to support founders of startups, which are newly established companies characterized by rapid growth, flexibility, and innovation, according to the charter’s definition,” said Bassel Rahmy, CEO of MSMEDA.
He emphasized that supporting these high-growth companies is a key priority for the agency, in coordination with the ministerial group for entrepreneurship and in line with the new charter and the SME Development Law No. 152 of 2020. Rahmy encouraged eligible companies to review the charter, prepare the required documents, and apply for the classification.
About The Startup Charter
The Egyptian Startup Charter is a national initiative aimed at strengthening the country’s entrepreneurship ecosystem. It provides a unified definition for startups as newly established, high-growth, flexible, and innovative entities. The charter’s primary goal is to facilitate access to financial incentives and regulatory support to foster economic growth and job creation.
Source: Economy Plus
