2020-12-29

A circular dated December 30, 2020 regarding the Credit Risk Guarantee Company’s guarantee account for calculating the maximum limits for the bank’s investments with a single client and related parties.

The Central Bank of Egypt announced on December 30, 2020, that it has decided to temporarily pause the guarantee coverage provided by Credit Guarantee Insurance Companies (CGICs) for individual bank clients. This follows an increase in loan volumes due to the COVID-19 pandemic and its aftermath. The Central Bank will instead allocate a portion of its reserves to provide temporary cover for CGICs, which would then pause their coverage on individual loans. The central bank's board has approved this decision taken as part of handling the credit guarantee insurance provided by Credit Guarantee Insurance Companies for individual clients and related parties.

Egypt

Central Bank of Egypt

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