Implemented in collaboration with the banking system and participating banks, the initiative allows instant and cash repayment of the entirety of export companies’ arrears from the Export Development Fund at a discount of 15%
The government’s immediate disbursement of export subsidies initiative will soon open the 2nd round of its 4th phase for submissions, explained Finance Minister Mohamed Maait.
The latest phase will begin in January 30 and is set to end on February 10.
Since its launch in October 2019, the initiative has disbursed EGP 31 billion of exporters’ arrears, benefiting over 3,000 export companies, the minister pointed out.
Nevine Mansour, the finance ministry’s adviser for financial policies, stated that the ministry disbursed EGP 957.4 million for 500 export companies during the fourth phase of the initiative, with the 2nd round’s disbursement scheduled for April 28-29 April.
This comes in implementation of the presidential directives to support the export sector, Maait said. “We continue to support exports and exporters in line with the presidential directives in this regard. The government has supported the export sector by about EGP 31bn disbursed to more than 3,000 exporting companies since the start of the initiative to pay subsidy dues to exporters in October 2019 until now. This amount of financial support to the export sector is unprecedented and reflects the state’s keenness to stimulate exports.”
Implemented in collaboration with the banking system and participating banks, the initiative allows instant and cash repayment of the entirety of export companies’ arrears from the Export Development Fund at a discount of 15%.
The export initiative supports both domestic and foreign companies operating in the Egyptian market.
The finance ministry deposited a guarantee at the Central Bank of Egypt (CBE) to allow the payment of the arrears through the end of the program.
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The president also directed the government to take the required procedures that would contribute to increasing Egypt’s exports to reach $100 billion per annum, and to set 100 incentives to be extended to the industry sector to increase the competitiveness of Egyptian products.
The initiative contributed to Egyptian export revenues hitting $31 billion in 2021.
