CAIRO – Egypt has completed the cash disbursement of the first tranche set under a new government mechanism approved by the Cabinet to settle outstanding dues owed to exporters by the Export Development Fund, Finance Minister Ahmed Kouchouk said on Sunday.
Under the mechanism, the ministry will pay 50% of the total amount owed for shipments before June 30, 2024.
A total of 601 exporting companies received around EGP 368 million, in addition to amounts disbursed on August 12, as part of efforts to inject liquidity into the export sector and enhance its global competitiveness, Kouchouk added in a statement.
The minister noted that the current fiscal year includes EGP 45 billion in allocations for the new export support and rebate program, which is double the previous year’s funding.
Under this new system, the government aims to pay dues for the current fiscal year within three months of receiving necessary documentation.
Nevin Mansour, advisor to the finance minister for institutional relations, said the first tranche was disbursed via four banks: National Bank of Egypt, Banque Misr, Banque du Caire, and the Export Development Bank of Egypt.
She added that in coordination with the Central Bank of Egypt, payments were also transferred to exporters’ accounts at other banks when they did not hold accounts at the designated four, with no administrative fees charged.
