IT companies will benefit from accelerated disbursement procedures from April, the Information Technology Industry Development Agency (ITIDA) announced in a press statement on Thursday. The procedures form part of ITIDA’s export subsidies programme, with the acceleration part of the agency’s support for companies and to mitigate the negative effects of the ongoing coronavirus (COVID-19) crisis.
ITIDA said the steps will be put in place, with priority given to 69 micro and small companies that applied for the programme, followed by medium and large companies.
Hala El Gohary, ITIDA CEO, said that disbursing dues is one of the urgent measures taken by the authority to keep the information technology market going in the face of the ongoing coronavirus crisis.
She added that about 110 Egyptian companies, all of whom have applied for the programme, are expected to benefit from the measure.
ITIDA has pay the companies dues from export support in previous programme cycles at the end of the fiscal year, in June of each year.
The agency had invited companies to apply to the programme in February, with qualified companies receiving a financial incentive of 50% of the value-added of export earnings collected during 2018.
The programme was launched in 2010, with ITIDA providing over 185 local companies with nearly EGP 350m since then. The programme has successfully contributed to increasing information technology export revenues by a total of EGP 6.2bn.