NBE Pumps EGP 10 mln for Customer in Default in Marsa Alam

The National Bank of Egypt (NBE), has finalized pumping EGP 10 million to float tourist customer in Marsa Alam with total cost EGP 50 million.

Yahya Fotouh member of the executive management the National Bank of Egypt (NBE),said the bank has decided to pump these facilities in order to complete the hotel’s activity again after it has been defaulted during the recent period due to the political consequences.

Fotouh has explained that the portfolio of the non-performing debts in the NBE is in the steady decline recorded around EGP 6.1 billion in the last fiscal year of 2012/2013, against EGP 6.2 billion in 2011/2012 despite the hard political situation and the raising of US dollar, so the non-performing portfolio became 5.2% from the total portfolios which reached EGP 115 billion.

He added that the bank has succeeded in collecting about EGP 1.1 billion from the debts which get out from the budget within the last three years.

The latest negotiations of NBE with the largest defaulted customer of Arcostal Steel around their debts which reached EGP 1.7 billion, explaining that the company’s General Assembly has commissioned a tripartite committee to study the submitted offer from the bank which based on completing restructuring of the company, pointing out the failure to reach a final agreement yet.