Regulatory Alerts2019-12-15
A circular dated December 12, 2019 regarding the private industrial sector initiative
The Central Bank of Egypt (CBE) reaffirms its support for the Egyptian manufacturing sector, which plays a vital role in reducing imports and providing a stable source of income. To enhance local production, the CBE will allocate loans to private manufacturing companies with annual revenues or imports exceeding 50 million EGP. The loans' principal amounts and interest rates will be tailored according to the borrowers' performance, capacity, and cash flow position. The CBE also plans to support companies in strategic sectors by providing them with working capital loans and long-term financing facilities. To ensure loan repayment, the CBE will take necessary actions such as adjusting loan interest rates or extending loan maturities if needed. The CBE emphasizes that participating in this program is optional, but urges businesses to seriously consider taking part.