Regulatory Alerts2018-03-25
Added · Updated
Circular dated March 25, 2018 regarding the exhaustion of the amount available for the working capital financing initiative for medium-sized companies at a return rate of 12%
The Central Bank of Egypt notifies that the 10 billion EGP allocation for the working capital financing initiative for medium-sized companies at a 12% interest rate has been fully exhausted. Banks are instructed to cease granting new financing under this initiative effective immediately.
Cairo on: 25 March 2018
Mr. / Chairman of the Board
Bank
Greetings,
With reference to my letter dated 5 March 2017 regarding the Board of Directors' decision of the Central Bank dated 28 February 2017 to make available an amount of 10 billion EGP through banks at a return rate of 12%, to be used in granting short-term credit facilities to finance working capital for companies and medium-sized establishments as detailed in the aforementioned letter.
I wish to inform you that, in light of the success of this initiative in achieving its intended objectives and the exhaustion of the available amount, please take the necessary steps to alert regarding the cessation of granting new financing under the aforementioned initiative effective from this date.
Please accept the highest respect.
Gamal Naguib