Ali Mahir resigns on on September 7, and Naguib becomes prime minister, minister of war, commander in chief, and president of the RCC.

This same month, the RCC passes its first major domestic measure, the Agrarian Reform Law of 1952.

The law is intended to abolish the power of the absentee landlord class, to encourage investment in industry, and to build support for the regime.

The law limits landholdings to two hundred feddans with the right to transfer another one hundred to wives and children.

The owners of the land requisitioned by the government receive about half the market value of the land at 1951 prices in the form of government bonds.

The land is sold in lots of two to five feddans to tenants and small farmers owning less than five feddans.

The small farmers have to buy the lots at a price equal to the compensation paid to the former owner.