(3 minutes read)
The Federation of Egyptian Industries (FEI) called for new policies for rejuvenating the national economy and to catalyse industrial investment
The Federation of Egyptian Industries (FEI) called for new policies for rejuvenating the national economy and to catalyse industrial investment.
The FEI said recently that policies pursued by the Central Bank of Egypt (CBE) in previous periods were appropriate to challenges of that stage. It has endorsed the decision of the political leadership regarding the change that took place in the leadership of the CBE. The FEI affirmed its constant interaction with all measures aimed at achieving the interests of the Egyptian economy, increasing investments in the industrial sector, and solving all obstacles to attract more investments and increase the industrial sector’s contribution to the national economy.
Mohamed Al-Bahi, the board member of the FEI, stated that a basic problem that the new governor must work on is the scarcity of financing for the industrial sectors, especially since many banks in Egypt do not provide sufficient financing for the industrial sector. The banks’ reluctance to finance industrial projects frustrated most business owners due to terrible conditions including guarantees imposed by the banking sector on manufacturers, as well as other obligations related to payment of labor salaries and production of raw materials, whose prices have increased manifold in light of the current global crises.
Read Also:
https://trendsnafrica.com/egypt-ties-with-spanish-company-talgo-to-manufacture-railway-wagons/
https://trendsnafrica.com/digital-payment-system-is-becoming-popular-in-egypt/
Al-Bahi added that it is necessary to reconsider the decision of opening documentary credits in banks, especially since such procedures are outdated and the world is now dealing electronically in import and export operations. Moreover, other countries do not prefer to deal with documentary credits because it disrupts the collection of money to meet obligations.
