EALB Settled EGP 280 Bad Debts In July, August

The Egyptian Arab Land Bank (EALB) settled non-performing loans worth EGP 280 million during July and August with a number of investors working tourism and real estate sectors.

The bank has no more defaulting businessmen after settling EGP 125 million worth of debt with the businessman Magdi Yacoub in return for real estate assets, said Abdel Megid Mohy El-Din, deputy chairman of the bank.

Most of the loan-defaulting businessmen were investing in real estate sector as it had witnessed deep recession after 2011’s revolution, Mohy El-Din added, affirming that the Central Bank of Egypt (CBE) boosted sufficient provisions against bad debts.

The bank aims at settling EGP one billion worth of bad debts ranging from EGP 850 million to EGP 900 million in 2011. The bank targets in the next two years to dispose of its non-performing loans which affected negatively the bank’s results since 1990s.