Discussions are currently underway in the Egyptian Parliament regarding amendments to the Old Rent Law — a sensitive issue that affects millions of landlords and tenants. This comes after a ruling by the Supreme Constitutional Court that deemed certain articles of Law No. 136 of 1981 unconstitutional, thereby requiring the Parliament to amend the law before the end of the current legislative session. Minister of Parliamentary Affairs, Counselor Mahmoud Fawzy, confirmed that the government is working swiftly with the legislative council to finalize the new version of the law to ensure justice for all parties involved, noting that the court ruling must be implemented.
Summary of the Anticipated Amendments to the Old Rent Law
The proposed draft stipulates a gradual increase in rental value for units under the old rent system, starting at EGP 1,000 per month in urban areas and EGP 500 in rural areas. The rent will then increase annually by 15% over a five-year period. Additionally, all old rent contracts will be terminated after five years, with priority given to current tenants to receive alternative housing through government-backed projects. Landlords will have the right to take legal action to evict tenants who do not vacate the premises after the transitional period ends. These amendments aim to reorganize the rental market in Egypt in alignment with current economic and social developments.