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Wednesday, 16 May 2018

CBE to launch sweeping debt-relief program for businesses with non-performing loans?

CBE to launch sweeping debt-relief program for businesses with non-performing loans? The central bank is reportedly about to launch an initiative that would see as many as 107k businesses forgiven interest payments, late charges and lawsuits over loans they are unable to repay, CBE Governor Tarek Amer tells Al Mal. Those eligible for the initiative will have to pay down the principal amount of the loan before they are eligible for interest relief and the forgiveness of charges, according to Amer. Some 5,000 factories, 27,000 clients of the Agricultural Bank of Egypt, and around 75,000 clients of other banks may be eligible for the program, according to Amer. Amer did not disclose the overall price tag of the initiative or how one becomes eligible for it. The initiative was meant to be launched this week, Amer had said previously, but several banks have expressed their interest in participating in the initiative, leading to the postponement of the launch until next week, according to CBE Sub-Governor Gamal Negm.

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