Adding Certain Goods to Exclude Import Operations from the Minimum Cash Insurance Rate Until End of June 2013

Cairo on 4 February 2013

Greetings and after...,

By reference to Supervision and Monitoring Circular No. 86 dated 28 June 2010, No. 91 dated 30 June 2010, and finally No. 306 dated 6 November 2012, which included:

"Allowing banks to exclude import operations of more than meat and poultry of all types, and sugar of all types for the account of traders for the purpose of trading or government entities from the minimum cash insurance rate reaching 50% with leaving the freedom to banks in determining the cash coverage percentage and without a minimum limit .......for an additional period of 6 months ending at the end of June ......2013".

This, and in light of the foregoing and as a continuation of the role of the Central Bank of Egypt in supporting the national economy and providing the needs of the local market through foreign trade operations, it has been decided as follows:

"Adding the following goods to the goods mentioned above, the import operations of which are exempt from the minimum cash insurance rate reaching 50%:

1. Medicines, vaccines, and their special chemical materials.
2. Infant milk.
3. Foodstuffs (wheat - oils - grains).
4. Animal feeds (corn - soy - other requirements).
5. Fertilizers and pesticides.

And this with leaving the freedom to banks in determining the cash coverage percentage and without a minimum limit, with the necessity of observing the credit issuance controls issued by the Central Bank of Egypt, and the results of the credit studies that each bank conducts for its clients in this regard, until the end of June 2013".

Please be so kind as to take note and alert to the full compliance with what is stated in this letter.

And please accept the highest respect and appreciation...
Hesham Ramy Abdel Hafez