Beneficiary companies will receive a low, declining interest rate of 12%, with a maximum disbursement period of 16 months ending by June 2026.
Egypt has launched an initiative to support the tourism sector, offering EGP 50 billion in financing facilities for tourism companies and easing the repayment of installments. This initiative aims to increase the capacity of hotel rooms.
According to a joint statement from the Ministries of Finance and Tourism, priority will be given to the governorates of Luxor, Aswan, Greater Cairo, the Red Sea, and South Sinai.
Minister of Finance, Ahmed Kouchouk, announced that the state treasury will contribute to funding tourism sector support for hotel room construction, with subsidized interest rates provided by the treasury for five years from the first disbursement of financing.
He noted that tourism companies which need to benefit from the initiative must sell 40% of their foreign currency revenues to the financing banks.
Meanwhile, Minister of Tourism and Antiquities Sherif Fathy, highlighted that this initiative is a crucial step to support and stimulate tourism investments, especially in hotels, to accommodate the targeted increase in tourist numbers.
Eligible companies have a one-year window to apply for these facilities, with a cap of EGP 1 billion per client and EGP 2 billion for related parties.
Beneficiary companies will receive a low, declining interest rate of 12%, with a maximum disbursement period of 16 months ending by June 2026.
These companies will have a six-month grace period after the disbursement phase ends to obtain their final or provisional operating license. So far, 96 applications meeting the initiative’s criteria have been submitted.
Earlier in October, The Central Bank of Egypt (CBE) has unveiled comprehensive guidelines for a significant tourism support initiative aimed at revitalizing the sector, following the Egyptian government's announcement to allocate EGP 50 billion.
This funding, provided by the Ministry of Finance, is designed to bolster tourism companies impacted by recent challenges.
In September, Minister of Finance, Ahmed Kouchouk, shared that a new EGP 50 billion tourism initiative was recently launched to boost the construction of hotel rooms and attract more visitors, emphasizing the government's commitment to supporting key sectors, including manufacturing and tourism.
