2020-04-16

A circular dated April 16, 2020 regarding the mechanism for paying the interest calculated during the credit maturity period

In a letter dated April 16, 2020, the author addresses the Chairman of the Board of Directors of a bank in Cairo, Egypt, regarding the measures taken to mitigate the impact of the COVID-19 pandemic. The letter refers to previous circulars, including one dated March 15, 2020, which instructed banks to automatically postpone all customer obligations for 6 months without imposing delay returns or additional fines. The author clarifies that the accrued returns during the postponement period should be capitalized and added to the remaining facility amount, with customers not being charged the deferred returns with the first installment after the postponement period.

Egypt

Central Bank of Egypt

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