Regulatory Alerts2024-01-18
A circular dated November 23, 2023 regarding updating the rules regulating credit inquiry and rating companies
Cairo, Egypt: On January 18, 2024, the Governor of the Central Bank of Egypt addressed the amendment to the bank's previous regulations from February 22, 2021. These changes included increasing the loan guarantee scheme for small, micro, and medium enterprises (SMEs) by 5% to 25%, effective until December 31, 2023. The Central Bank of Egypt's Board of Directors in its meeting on January 16, 2024, also approved the following: 1. Extending the implementation period of these measures for one year, ending on December 31, 2024; this includes a 25% loan guarantee scheme for SMEs and allocating 10% of that for small enterprises until December 31, 2024. 2. Allowing banks full freedom to satisfy all loan guarantees related to the covered credit facilities for SMEs and receiving certificates if required. 3. Continuing other provisions that have not been addressed. The Central Bank of Egypt kindly requests compliance with these measures, and respectfully asks for high esteem.