Abdel-Hafiz Al-Sawi, No Stock-Exchange Tax

Abdel-Hafiz Al-Sawi, No Stock-Exchange Tax

 Abd Al-Hafiz Al-Sawi, the Freedom and Justice Party (FJP)’s economic team, denied rumors about the FJP leaning towards imposing taxes on stock market during in the near future, asserting that this proposal is not on the party’s agenda at this time.

In a statement to Ikhwanweb, Al-Sawi said, "The FJP’s policy with respect to any economic legislation is that it will be passed with the participation of all parties concerned. Thus, stock market investments are taken into account, and any such legislation will only be passed with the participation of investors and stock market officials, and after consultation with them.

Al-Sawi reaffirmed the party’s determination for the stock market to enjoy the greatest degree of stability in spite of the exceptional circumstances experienced by the national economy.

"This proposal was part of the FJP’s election program, introduced before the start of the parliamentary elections", Al-Sawi said, adding that the party takes into account the size of the losses suffered by investors in the local market since the global financial crisis in 2008, and also the consequences suffered by those working in the capital market after the outbreak of revolution of January 25.

Al-Sawi explained that the proposal came under the FJP’s initiative to discuss the stability of the stock market and in order to avoid exposure to hot trading adventures, when it was observed that about 7 billion Dollars fled Egypt during the period from January to June of 2011, which had a negative impact on the balance of payments and the demand for the dollar on the domestic market, according to Central Bank data for the funds that came out in the context of foreign direct investments, including government bonds.

The FJP had previously sent one of the party’s MPs, Adel Hamid, to represent the FJP in an important conference meant to support the stock exchange.