Egypt scraps century-old rent controls

Egypt will phase out its century-old “old rent” system, ending rock-bottom, hereditary leases that let some families live in central Cairo for under $1 a month, reports The New York Times. Under a new law signed by President Abdel Fattah el-Sisi, rents for 1.6m households will jump ten- to twentyfold initially, then rise 15% annually over seven years until reaching market levels.

The change, in place since 1920, aimed to protect tenants but left landlords with derisory income, fuelling property neglect, vacant units, and lucrative subletting. Officials say the reform will rebalance the market and promise alternative housing for evicted tenants. Critics argue that supply is inadequate and relocation often pushes families to remote, costlier developments.

With inflation in double digits for over three years and a third of Egyptians living in poverty, housing advocates warn the overhaul risks mass displacement. “It affects their whole life plans,” says legal researcher Karim Ezzat, noting most tenants will struggle to pay future rents.