2020-01-08

A circular dated January 8, 2020 following the initiative for irregular legal persons (creditworthiness categories 9 and 10)

The letter, dated January 8, 2020, outlines an initiative by the Egyptian Central Bank regarding corporate clients with doubtful or bad debts (creditworthiness categories 9 and 10) with balances of less than 10 million Egyptian pounds. The initiative offers concessions such as removal from the negative list, lifting of transaction bans, and release of guarantees if clients repay 50% of their debt by December 31, 2020. Banks are instructed to conduct credit studies, rely on project income for repayment, and refrain from excessive personal guarantees and checks as collateral.

Egypt

Central Bank of Egypt

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