Regulatory Alerts2022-12-20 | CBE10.6Added · Updated
CBE Regulation Book 10.6 - Vehicle Replacement Initiative
The Central Bank of Egypt authorized a 15 billion EGP initiative providing loans at a 3% fixed interest rate for individuals to replace vehicles with dual-fuel models, with repayment terms of 7 to 10 years. The Central Bank initially covered the interest rate differential but, per Prime Ministerial Decision No. 4151 of November 2022, transferred this subsidy obligation to the Ministry of Finance. The scheme exempts beneficiaries from consumer loan-to-income ratio limits, waives early repayment fees, and requires credit guarantee coverage for 80% of risks.