Circular dated January 11, 2016 regarding the third amendment to the instructions for money market funds

Dear Chairman of the Board of Directors of Tahya Bank,

Greetings,

With reference to the Central Bank of Egypt letter No. 441 dated December 8, 2014, regarding the amendment of the controls that banks established for money market funds (Money Market Funds) must observe and comply with as a minimum, I would like to inform you that the Board of Directors of the Central Bank of Egypt decided in its meeting held on January 6, 2016, to amend the aforementioned instructions to read as follows:

1. The maximum limit for the total amount of funds invested in the aggregate of the bank's money market funds and fixed income funds shall not exceed 2.5% of the bank's total local deposits and/or fifty times the maximum limit for the bank's participation in the aggregate of its money market funds, which is determined at 2% of the Basic Capital (the first tier after exclusions pursuant to the decision of the Board of Directors of the Central Bank of Egypt dated December 18, 2012, regarding the minimum for the capital adequacy standard pursuant to II (whichever is lower), while taking into account the provisions of Basel regarding the provisions of Capital Law No. 95 of 1992 and its executive regulations, especially Article 150 thereof, and the relevant instructions issued in this regard.

2. It is necessary to ensure that subscribers to these operations are only the bank's customers, with the necessity of completing Know Your Customer (KYC) procedures to verify the seriousness of these customers.

3. Banks that exceed the limits outlined above must stop issuing any new investment documents for either current or new customers until compliance with these limits is achieved.

Please be so kind as to take the necessary steps to comply with the above.

With highest regards,

Gamal Naguib