The minimum level of business volume in the agri-business field that qualifies for funding by banks in Egypt has been reduced from EGP1 million to EGP250,000 up to a business volume of EGP50 million. The decision was taken by the Central Bank of Egypt (CBE) in case of businesses operating in the fields of agriculture, agro-processing, dairy, fodder, as well as fish, chicken and livestock. Such businesses will be granted credit facilities at the low interest rate of 5 per cent.
The CBE decision complies with the 11 January 2016 initiative by the State to call on banks to increase funding for small and medium enterprises by allocating 20 per cent of their credit portfolios to that aim. A CBE spokesperson said that the decision is meant to support of the State’s keenness to develop the agricultural sector as a key pillar in Egypt’s economy and part of the sustainable development cycle.
16 July 2017