Regulatory Alerts2022-12-29
A circular dated December 29, 2022 regarding allowing the acceptance of collection documents when carrying out import operations
On December 29, 2022, a letter was addressed to the Chairman of the Board of Directors of a bank in Cairo, Egypt, informing him of the decision to rescind a previous circular issued on February 13, 2022, which had suspended the use of collection documents for executing import transactions and mandated the exclusive use of letters of credit for such operations. The letter also referenced a subsequent circular dated October 27, 2022, which increased the value of shipments exempted from the aforementioned decision from USD 5,000 to USD 500,000 or its equivalent in other currencies. In alignment with the Central Bank's announcement of a gradual phasing out of these instructions, the letter communicated the cancellation of the February 13, 2022, circular and the reinstatement of the acceptance of collection documents for executing all import transactions.