Egypt Plans To Impose Tax On Bank Loans

Egypt will impose a tax of 0.001 percent on bank credit, loans and advances, according to a law approved in principle by the upper house of parliament on Wednesday, the state news agency and a lawmaker said.

The law is part of a package of tax reforms that includes a previously announced 0.001 percent tax on paid by both buyer and seller in all Egyptian stock market transactions.

It was provisionally endorsed as an International Monetary Fund mission was in Cairo for talks on a $4.8 billion loan needed to help overcome Egypt’s deep economic malaise.

Fayed Aref, deputy head of the Shura Council’s financial committee, said the law would be discussed in more detail in parliament soon.