Egypt to adopt LE 150B initiative to back production sectors, cut loans’ interests – Egypt Today

Egypt to adopt LE 150B initiative to back production sectors, cut loans’ interests – Egypt Today

CAIRO - 14 January 2023: Egypt will adopt a five-year initiative worth LE 150 billion to support the agricultural and industrial production sectors, especially by reducing their loans’ interests, in the face of the repercussions of the global crises, the Cabinet has announced.

The initiative will come into effect after the cabinet’s approval this week, the Cabinet said in a statement on Wednesday.

The initiative aims to enhance local production by focusing on priority sectors, especially the industrial and agricultural sectors, in order to achieve the state’s developmental and economic goals and increase capabilities of facing the repercussions of global crises, the statement added.

Minister of Finance Mohamed Maait said the initiative mainly includes reducing interest rates on loans provided to these sectors so that they can face the negative repercussions of the global crises.

The total value of the proposed initiative is around LE 150 billion, of which about LE 140 billion will be allocated for financing working capital operations, and around LE 10 billion will be for financing the purchase of capital goods, Maait added.

The amount of credit available to each company will be determined in light of the size of its business and the banking rules in this regard, Maait said.

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