{"id":657945,"date":"2024-12-29T00:00:00","date_gmt":"2024-12-29T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2024\/12\/29\/govt-announces-egp-30-bn-industrial-initiative\/"},"modified":"2024-12-29T00:00:00","modified_gmt":"2024-12-29T00:00:00","slug":"govt-announces-egp-30-bn-industrial-initiative","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2024\/12\/29\/govt-announces-egp-30-bn-industrial-initiative\/","title":{"rendered":"Gov\u2019t announces EGP 30 bn industrial initiative"},"content":{"rendered":"

Good afternoon all you wonderful people, and happy Sunday. <\/strong>Read on for all the latest on a new EGP 30 bn initiative for local manufacturers, a deadly plane crash in South Korea, and all the recs you never knew you needed.<\/p>\n

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PSA-<\/p>\n

Banks will be closed on Wednesday, 1 January<\/strong>, to mark the end of their fiscal year, and will return to work on Thursday, 2 January, the Central Bank of Egypt said in a statement today.<\/p>\n

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THE BIG STORY TODAY<\/p>\n

#1-<\/strong> A new EGP 30 bn initiative for local manufacturers:<\/strong> As we wrap up the year and look back at the government efforts to support the local industries, the industry and finance ministries have announced the launch of the first phase of a new EGP 30 bn initiative to support companies in priority industrial sectors, according to an Industry Ministry statement<\/a>. <\/p>\n

The beneficiaries: <\/strong>The initiative targets the pharmaceutical, food, engineering, chemical, ready-made garment, spinning and weaving, mining, and building materials sectors, and gives priority to border governorates, Upper Egypt, southern Giza, Port Said, Ismailia, and Suez (east of the Suez Canal). <\/p>\n

A slew of incentives: <\/strong>The initiative provides beneficiaries with a subsidized interest rate of 15% for five years from the start date of the initiative, with a maximum financing limit of EGP 75 mn per client or a total of EGP 100 mn for related entities. It also provides additional interest rate reductions as local value-added increases or when projects introduce industrial activities that are not available locally and can reduce imports. <\/p>\n

** <\/strong>The news came as we dive in Inside Industry below into how the government has actively supported the industrial sector in 2024<\/strong>, aiming to turn Egypt into a regional industrial hub.<\/p>\n

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#2- Al Ahly Capital Holding now owns 97.6% of <\/strong>Easy Lease<\/a><\/strong>, after the National Bank of Egypt\u2019s investment arm acquired an additional 93.1 mn shares \u2014 equivalent to a 46.6% stake \u2014 of the local financial leasing services provider from Elsewedy Capital for an undisclosed value, according to a statement (pdf)<\/a>. The share increase comes after the company acquired a 51% stake in Easy Lease back in April<\/a>.<\/p>\n

Behind the acquisition: <\/strong>NBE said the acquisition came under its strategy to develop Easy Lease\u2019s finance portfolio and add new financial services, as it aims to strengthen the non-banking financial sector\u2019s role in supporting businesses.<\/p>\n

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THE BIG STORY ABROAD<\/p>\n

A South Korean passenger jet crashed this morning at Muan International Airport,<\/strong> leaving at least 174 dead in one of the country\u2019s worst aviation disasters<\/strong>. The Jeju Air flight, en route from Bangkok with 181 onboard, was unable to deploy its landing gear, hitting a wall and erupting into fire. While two crew members made it out alive, the vast majority of passengers, mostly South Korean citizens, are feared to have died. The aircraft \u2014 a 15-year old Boeing 737-800 \u2014 was flown by a seasoned pilot and had a strong maintenance record, according to Jeju Air. (The Financial Times<\/a> | Reuters<\/a>) <\/p>\n

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