{"id":585656,"date":"2023-04-27T00:00:00","date_gmt":"2023-04-27T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2023\/04\/27\/tourism-players-once-again-have-access-to-subsidized-loans\/"},"modified":"2023-04-27T00:00:00","modified_gmt":"2023-04-27T00:00:00","slug":"tourism-players-once-again-have-access-to-subsidized-loans","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2023\/04\/27\/tourism-players-once-again-have-access-to-subsidized-loans\/","title":{"rendered":"Tourism players once again have access to subsidized loans"},"content":{"rendered":"<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><span style=\"\"> <\/span><span style=\"font-weight:700\">Gov\u2019t expands subsidized loan program to include tourism: <\/span><span style=\"\">The Madbouly <\/span><span>government will offer EGP 10 bn worth of loans at a subsidized 11% interest rate to tourism players, pushing the total value of its subsidized loan program to EGP 160 bn, Prime Minister Moustafa Madbouly <\/span><span style=\"text-decoration-skip-ink:none;-webkit-text-decoration-skip:none;\"><a href=\"https:\/\/www.facebook.com\/EgyptianCabinet\/posts\/pfbid02j3N7JBzgwAtLb261p9M3FxfFeU7M2EYQmbE2V1kDBjYeZka7FNaBMSqKczXE6TQol\" style=\"\">said<\/a><\/span><span style=\"text-decoration-skip-ink:none;-webkit-text-decoration-skip:none;\"><a href=\"https:\/\/www.facebook.com\/EgyptianCabinet\/posts\/pfbid02j3N7JBzgwAtLb261p9M3FxfFeU7M2EYQmbE2V1kDBjYeZka7FNaBMSqKczXE6TQol\" style=\"\">yesterday<\/a><\/span><span style=\"font-weight:400;\">.<\/span><\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><span style=\"font-weight:700\">The loan program targets key sectors that bring in FX: <\/span><span>Introduced for agriculture and industry players at the start of the year, the Finance Ministry <\/span><span style=\"text-decoration-skip-ink:none;-webkit-text-decoration-skip:none;\"><a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/802eb13a-b77b-4af6-ba0c-5f3f92c3e1ce\" style=\"\">has said<\/a><\/span><span> the subsidized loan <\/span><span style=\"text-decoration-skip-ink:none;-webkit-text-decoration-skip:none;\"><a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/7764b17a-972c-4971-8d6d-0926e6b6c24e\" style=\"\">program<\/a><\/span><span style=\"font-weight:400;\"> in part aims to help increase exports by providing businesses with the liquidity they need to up production. That could help narrow the country\u2019s external financing imbalance and supply much-needed hard currency amid an ongoing shortage that has helped fuel inflation. <\/span><\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><span style=\"font-weight:700\">The importanc<\/span><span style=\"font-weight:700\">e of the tourism sector has only grown over the past year<\/span><span> as the country suffers from a protracted shortage of FX on the back of the war in Ukraine. The Tourism Ministry wants to attract as many as <\/span><span style=\"text-decoration-skip-ink:none;-webkit-text-decoration-skip:none;\"><a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/b252d5fc-e5e3-41f9-a8ca-8c9cf8c17127\" style=\"\">30 mn tourists<\/a><\/span><span> per year by 2028, <\/span><span style=\"font-weight:400;\">and the mix of arrivals has tilted since April 2022 from lower-value Russian and Ukrainian all-inclusive Red Sea package tours to higher value European, North American, and Asian visitors.<\/span><\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><span style=\"font-weight:700\">This isn\u2019t the first time the sector has gotten financing support: <\/span><span>Tourism players <\/span><span style=\"text-decoration-skip-ink:none;-webkit-text-decoration-skip:none;\"><a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/7556d5f4-f4be-40a0-b383-00d317400ee5\" style=\"\">had<\/a><\/span><span style=\"text-decoration-skip-ink:none;-webkit-text-decoration-skip:none;\"><a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/7556d5f4-f4be-40a0-b383-00d317400ee5\" style=\"\">access to loans<\/a><\/span><span> with a tenor of two years and a six-month grace period at an interest rate of 8% as part of Central Bank of Egypt\u2019s (CBE) <\/span><span>subsidized program<\/span><span> for the industry, agriculture, tourism, and construction sectors. The CBE <\/span><span style=\"text-decoration-skip-ink:none;-webkit-text-decoration-skip:none;\"><a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/bc99d570-aa53-468e-b000-60de8fa427ff\" style=\"\">scrapped the program<\/a><\/span><span style=\"font-weight:400;\"> in November and passed the responsibility on to government ministries as part of the IMF\u2019s conditions for our USD 3 bn bailout package. <\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The gov\u2019t will offer EGP 10 bn worth of loans at an 11% rate to the industry<\/p>\n","protected":false},"author":1,"featured_media":585657,"comment_status":"closed","ping_status":"open","sticky":false,"template":"single-feature.php","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7206],"tags":[7106,104,72,955,1350,238],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-585656","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-economy","tag-debt","tag-economy","tag-enterpriseam","tag-hospitality","tag-madbouly-cabinet","tag-tourism","wpautop","entry"],"acf":{"mongo_id":"f7cb037e-74f7-4841-9dce-3865ba100b1d","is_powered_by":false,"story_type":"1","photo_url":"https:\/\/ent.news\/2023\/4\/869.jpg","photo_position":"above","homepage_title":"","full_issue_title":"Egyptian government expands subsidized loan program to tourism sector","related_issue":[585650],"teaser":"The gov\u2019t will offer EGP 10 bn worth of loans at an 11% rate to the industry","voice_url":"https:\/\/s3.us-east-1.amazonaws.com\/ent.news\/audio\/2023\/4\/.062791cf-c669-40b9-b793-c2776830d681.mp3"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.1 (Yoast SEO v27.1.1) - 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The program is set to launch next week, immediately\u2026","rel":"","context":"In &quot;DEBT WATCH&quot;","block_context":{"text":"DEBT WATCH","link":"https:\/\/enterpriseam.com\/egypt\/category\/debt-watch\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2023\/1\/192.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":585040,"url":"https:\/\/enterpriseam.com\/egypt\/2023\/04\/10\/no-interest-rate-hikes-on-soft-loans-to-industry-agriculture-players\/","url_meta":{"origin":585656,"position":1},"title":"No interest rate hikes on soft loans to industry, agriculture players","author":"enterpriseam admin","date":"10 April 2023","format":false,"excerpt":"Subsidized loans will stay at 11% despite the CBE\u2019s rate hike","rel":"","context":"In &quot;Debt&quot;","block_context":{"text":"Debt","link":"https:\/\/enterpriseam.com\/egypt\/category\/business\/debt\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2023\/4\/391.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":577375,"url":"https:\/\/enterpriseam.com\/egypt\/2022\/11\/21\/central-bank-to-end-support-for-subsidized-loans\/","url_meta":{"origin":585656,"position":2},"title":"Central bank to end support for subsidized loans","author":"enterpriseam admin","date":"21 November 2022","format":false,"excerpt":"The Central Bank of Egypt is going to stop providing funding for subsidized loans and pass the responsibility to the housing, finance and tourism ministries, under a decree issued by Prime Minister Moustafa Madbouly in the Official Gazette yesterday. 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