PM: Govt. approves mechanism to settle exporters’ dues

By Aya Anwar On Dec 26, 2024

Egypt's cabinet approves a proposed mechanism to settle overdue amounts owed to exporting companies with the Export Development Fund - Cabinet

The Egyptian cabinet has approved a proposed mechanism to settle overdue amounts owed to exporting companies with the Export Development Fund. The decision, which is part of the government’s ongoing efforts to clear these arrears, is in line with the directives of President Abdel Fattah El-Sisi.
The new proposal aims to expedite the settlement of the remaining overdue amounts, totalling approximately 60 billion Egyptian pounds. The mechanism will offer these companies multiple options to settle their dues in a way that aligns with their circumstances and capabilities. The first phase will begin with the payment of 40-50 per cent of the total overdue amounts.

Moreover, this mechanism builds on the success achieved in addressing this key issue through collaboration between the Ministry of Finance and the Ministry of Investment and Foreign Trade, represented by the Export Development Fund. Over the past five years, from 2019 to 2024, nearly 70 billion Egyptian pounds have been disbursed to around 2,500 exporting companies.

In addition, Madbouly addressed ongoing efforts to streamline customs clearance processes, noting that the government is intensifying its work in this area. He emphasised that he is personally overseeing the issue of customs permits, acknowledging that some agencies lacked the capacity to operate seven days a week. However, with the start of the new year, the new system will be implemented.

These remarks were made during a meeting with a group of investors on Wednesday, where Madbouly listened to their insights.

Attribution: Amwal Al Ghad English

Subediting: M. S. Salama