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Thursday, 7 February 2019

Egypt’s Cabinet greenlights Consumer Credit Act

CABINET WATCH- Cabinet greenlights Consumer Credit Act: The Madbouly Cabinet approved yesterday the draft Consumer Credit Act, which would govern retail financing and consumer credit, according to a Cabinet statement. The 30-article bill would set up a federation for non-banking consumer finance and require companies to obtain a license from the Financial Regulatory Authority to sell goods on installment. All consumer finance players will be subject to the legislation if it passes, but retailers and manufacturers are subject to it only if more than 25% of their annual sales are made on installment plans. The proposed law defines consumer finance as “any activity or operation aiming to fund purchases of consumer and durable goods and transportation vehicles.” It is expected to clear the House of Representatives before the end of the current legislative season, FRA head Mohamed Omran previously said.

Unemployment is down again: Prime Minister Moustafa Madbouly announced that unemployment came at 8.9% during 4Q2018, down from 10% in the previous quarter, while the full year figure was 9.9%, the cabinet said in a statement.

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