Regulatory Alerts2016-02-23
Circular dated December 21, 2015 regarding import operations
According to the Central Bank of Egypt, it announced that it will not allow banks to finance foreign trade transactions after January 1, 2022, except for certain transactions such as importing commodities for non-trade purposes or export-related transactions. It is important to note that this decision does not include the use of letters of credit issued by banks for the purpose of guaranteeing imports, and does not apply to exports. In addition, it was decided that there will be no more financing of trade importation transactions whose purpose is to finance trading activities with 100% foreign currency funding, as per the instructions of the Central Bank of Egypt Governor's Circular No. 9 dated January 14, 2013, and the decision allows for the financing of the following: - Importing non-trade goods. - Basic food and consumer items. - Pharmaceuticals, medical supplies, and infant formula. The Central Bank of Egypt requests that you comply with this **decision**. Also, accept our highest regard towards "your country"