Circular dated December 28, 2020 regarding extending the period of exemption from commissions and fees on banking services

Cairo, December 28, 2020

Dear Mr. Chairman of the Board of Directors of Bank 1,

Greetings,

With reference to the circular dated March 15, 2020 and its subsequent circulars regarding the procedures and precautionary measures to be taken to ensure the continuity of banks' operations and various activities to meet customer needs in light of continuous monitoring of the banking market and banking operations, and to provide further support and facilitation to citizens to benefit from the gains achieved during the past period, with the increasing customer inclination towards using electronic payment methods and channels, reflecting the current trend of the Central Bank of Egypt and the banking sector towards transforming into a society with less reliance on cash, please be so kind as to direct the necessary steps to implement the following:

Considering that from January 1, 2021 until June 30, 2021:

1. Regarding Bank Transfers: Customers shall continue to be exempt from all expenses and commissions related to all bank transfer services in Egyptian pounds.

2. Regarding Payment Services Using Mobile Phones: The following shall continue:

• Issuance of electronic wallets free of charge, extending to the creation of virtual cards (VCN) from the wallet.
• Cancellation of all commissions and fees related to transfers between mobile phone accounts.
• Cancellation of all commissions and fees related to transfers between any mobile phone account and any bank account.

3. Regarding Bank Cards: The issuance of prepaid cards shall continue, provided that these cards are contactless for citizens free of charge, when the bank begins issuing this type of card.

4. Regarding ATM Transactions for Bank Cards: The cancellation of fees and commissions related to cash withdrawal operations shall continue throughout the aforementioned period, with the issuing bank bearing those fees and commissions. This does not include credit card revenues.

5. Regarding Payment Services Using Contactless Payment Instruments: Licensed banks eligible for electronic acceptance are committed to cancelling all fees and commissions borne by private sector merchants on transactions conducted using contactless payment instruments issued by banks operating in the Arab Republic of Egypt and without entering a PIN, with the issuing bank of the contactless payment instrument committing to refund the interchange fees to the acquiring bank during the aforementioned period.

In light of the above, it is imperative to alert immediately to full compliance with what has been presented.

Please accept our highest respect,

Tarek Amer

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