Circular dated June 18, 2020 regarding the listing of newly established medium-sized companies and small companies affiliated with large entities with an 8% initiative

Cairo: June 18, 2020
To: Chairman of the Board of Directors
Bank

Greetings,

With reference to the initiatives issued by the Central Bank of Egypt encouraging banks to finance small, medium, and micro-enterprises at low interest rates, as well as the initiative issued on December 12, 2019, and its subsequent circulars regarding the availability of an amount of 100 billion EGP through banks at an annual interest rate of 8% (declining) to finance companies operating in the private industrial sector, the agricultural sector, and the contracting sector, whose annual turnover/revenues are 50 million EGP or more.

In light of the Central Bank's keenness to expand the scope of benefiting from these initiatives, the Board of Directors of the Central Bank of Egypt decided in its meeting held on June 14, 2020 the following:

Allow the following companies - operating in the private industrial sector, the agricultural sector, and the contracting sector - to benefit from the initiative issued for these sectors, pursuant to which an amount of 100 billion EGP was allocated at an 8% interest rate (declining), according to the conditions mentioned in the initiative:

• Newly established companies classified as "medium-sized companies" based on paid-up capital until their financial statements become available, which are classified based on data from those statements.
• Companies and establishments classified as "small companies" affiliated with major entities and institutions or clients with high creditworthiness.

Please be so kind as to alert to taking the necessary action in this regard effective as of this date.

Tarek Amer