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Ease of Doing Business in

Egypt, Arab Rep

Egypt, Arab Rep Download Profile (1788.8KB, pdf)
Region Middle East & North Africa
Income Category Lower middle income
Population 91,508,084
GNI Per Capita (US$) 3,340
City covered Cairo

190

1

DB 2017 Rank

1

100

DB 2017 DTF (% points)

  • local_library
  • group
Topics DB 2017 Rank DB 2016 Rank info_outline Change in Rank DB 2017 DTF (% points) info_outline DB 2016 DTF (% points) info_outline Change in DTF (% points) info_outline
Overall 122 126 up
4
56.64 55.18 down
1.46
Starting a Business 39 70 up
31
92.43 87.48 up
4.95
Dealing with Construction Permits 64 63 down
1
72.46 72.25 up
0.21
Getting Electricity 88 129 up
41
70.33 57.74 up
12.59
Registering Property 109 105 down
4
58.30 58.19 up
0.11
Getting Credit 82 78 down
4
50.00 50.00
-
Protecting Minority Investors 114 129 up
15
48.33 43.33 up
5.00
Paying Taxes 162 162
-
51.96 51.42 up
0.54
Trading across Borders 168 157 down
11
42.23 51.01 down
8.78
Enforcing Contracts 162 162
-
40.90 40.90
-
Resolving Insolvency 109 105 down
4
39.51 39.49 up
0.02

Positive= Doing Business reform making it easier to do business.Negative= Change making it more difficult to do business.

DB 2017 Rank:

109

DB 2016 Rank:

105

Change in Rank:

down4

DB 2017 DTF (% points):

39.51

DB 2016 DTF (% points):

39.49

Change in DTF (% points):

up0.02

Indicator Egypt, Arab Rep Middle East & North Africa OECD high income
Recovery rate (cents on the dollar) info_outline 27 26.0 73.0
Time (years) info_outline 2.5 3.0 1.7
Cost (% of estate) info_outline 22 13.8 9.1
Outcome (0 as piecemeal sale and 1 as going concern) info_outline 0 .. ..
Strength of insolvency framework index (0-16) info_outline 8 5.3 12.1
  • Indicator Explanation Answer
    Recovery rate (cents on the dollar) 27.0
    Proceeding BizBank will initiate foreclosure, because it is the quickest and most efficient method to enforce its security. foreclosure
    Outcome The hotel is the only asset of Mirage and it is used as security for the bank loan, so the assets will be sold as part of the foreclosure proceedings. It will be difficult to find a buyer for the hotel as a going concern. piecemeal sale
    Time (in years) It takes around 30 months to complete foreclosure proceedings in Egypt and to enforce the judgment of the Economic Court. Foreclosure proceedings to obtain a judgment against the debtor will take 1.5-2 years. Enforcement will take 6 months to a year. 2.5
    Cost (% of estate) Main expenses will include attorneys' fees, court fees, fees of the auctioneer and other professionals involved in the proceedings, such as accountants and auctioneers. 22.0
    Answer Score
    Strength of insolvency framework index (0-16) 8.0
    Commencement of proceedings index (0-3) 2.0
    What procedures are available to a DEBTOR when commencing insolvency proceedings? (b) Debtor may file for liquidation only 0.5
    Does the insolvency framework allow a CREDITOR to file for insolvency of the debtor? (b) Yes, but a creditor may file for liquidation only 0.5
    What basis for commencement of the insolvency proceedings is allowed under the insolvency framework? (a) Debtor is generally unable to pay its debts as they mature 1.0
    Management of debtor's assets index (0-6) 4.0
    Does the insolvency framework allow the continuation of contracts supplying essential goods and services to the debtor? Yes 1.0
    Does the insolvency framework allow the rejection by the debtor of overly burdensome contracts? Yes 1.0
    Does the insolvency framework allow avoidance of preferential transactions? Yes 1.0
    Does the insolvency framework allow avoidance of undervalued transactions? Yes 1.0
    Does the insolvency framework provide for the possibility of the debtor obtaining credit after commencement of insolvency proceedings? No 0.0
    Does the insolvency framework assign priority to post-commencement credit? (c) No priority is assigned to post-commencement creditors 0.0
    Reorganization proceedings index (0-3) 0.0
    Which creditors vote on the proposed reorganization plan? N/A 0.0
    Does the insolvency framework require that dissenting creditors in reorganization receive at least as much as what they would obtain in a liquidation? No 0.0
    Are the creditors devided into classes for the purposes of voting on the reorganization plan, does each class vote separately and are creditors in the same class treated equally? No 0.0
    Creditor participation index (0-4) 2.0
    Does the insolvency framework require approval by the creditors for selection or appointment of the insolvency representative? Yes 1.0
    Does the insolvency framework require approval by the creditors for sale of substantial assets of the debtor? No 0.0
    Does the insolvency framework provide that a creditor has the right to request information from the insolvency representative? No 0.0
    Does the insolvency framework provide that a creditor has the right to object to decisions accepting or rejecting creditors' claims? Yes 1.0

Note: Even if the economy’s legal framework includes provisions related to insolvency proceedings (liquidation or reorganization), the economy receives 0 points for the strength of insolvency framework index, if time, cost and outcome indicators are recorded as “no practice”.