Regulatory Alerts2021-10-04
A circular dated October 4, 2021 regarding amending the real estate financing initiative for middle-income people at a return rate of 8%
The letter, dated October 4, 2021, is addressed to the Chairman of the Board of Directors of a bank in Cairo, Egypt. It refers to the real estate financing initiative launched in December 2019, which allocated 50 billion Egyptian pounds through banks for middle-income individuals and families with a maximum monthly income of 40,000 and 50,000 Egyptian pounds, respectively. The letter announces amendments to the initiative's terms and conditions, including increasing the maximum unit price, removing the maximum net unit area limit, and extending the maximum financing period to 25 years. These changes aim to benefit a larger number of citizens and provide more flexibility in the application process. The letter also includes a table detailing the revised compensation calculation for early repayment or unit sale.