Egypt unveils EGP 30b initiative to boost industrial sectors
The Egyptian government unveiled on Sunday a new initiative providing 30 billion Egyptian pounds in financing to support companies across key industrial sectors, during the 14th meeting of the ministerial group for industrial development.
The initiative’s first phase focuses on providing financing facilities to private sector companies for the acquisition of machinery, equipment, and production lines, as per a statement published by the Cabinet.
The report stated that the funding would target a range of priority industries, including pharmaceuticals, food processing, engineering, chemicals, ready-made garments, spinning and weaving, mining, and building materials.
A key aspect of the initiative is its focus on regional development. Priority will be given to establishments located in areas identified as most in need of economic growth and with higher labour intensity.
These areas include the border governorates, encompassing the Red Sea region south of Safaga, the governorates of Upper Egypt and South Giza, and the Suez Canal region, specifically Port Said, Ismailia, Suez, and the area east of the canal.
The State Treasury will play a crucial role in financing the initiative, absorbing the interest rate differential on the loans. This measure aims to reduce the financial burden on participating companies, encouraging investment and expansion.
Attribution: Amwal Al Ghad English
Subediting: Y.Yasser
