Regulatory Alerts2016-02-25
A circular dated February 24, 2016 amending the real estate financing initiative for low- and middle-income people
The letter, addressed to the Chairman of the Board of Directors of a bank, refers to the real estate financing initiative for low and middle-income individuals launched on February 19, 2014, and subsequent periodic books. The Central Bank of Egypt has decided to amend the conditions of the initiative, including adding new income brackets to benefit more individuals, offering long-term financing at low rates, and involving mortgage financing companies directly to work with banks to ease the burden on them. The letter also outlines several amendments to the terms of the real estate financing initiative for low and middle-income individuals, such as adding a new customer segment called "above average," setting maximum income and property value limits, and allowing banks to cover credit risks through group insurance policies.