2019-05-26

A circular dated May 26, 2019 regarding encouraging banks to invest in targeted investment funds for small emerging companies

The letter expresses the Egyptian Central Bank's interest in promoting micro, small, and medium-sized enterprises and its efforts to expand funding for these businesses. It references instructions from January 11, 2016, and May 23, 2017, mandating banks to increase their loan portfolios for these enterprises to 20% of their total credit facilities within four years. The letter also highlights the Central Bank's decision on May 22, 2019, to include banks' contributions to the capital of investment funds targeting small startups within the 20% quota and to set relative risk weights at 0% for these contributions.

Egypt

Central Bank of Egypt

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