The Central Bank of Egypt (CBE) allows cover cash exemptions on all meat, poultry and sugar imports, according to their statement today.
Meat and poultry are not part of Egypt’s subsidy system and are mainly imported by the private sector. Sugar, however, is partly subsidised and imported by three companies, one of which is public.
The bank stated that in light of the difficult circumstances the country is undergoing it needed to support the Egyptian economy, which is heavily dependent on imports.
The decision also extended to allowing banks to determine the amount of cover cash the require without a minimum amount until the end of this year.
This is a continuation of CBE 50 per cent reduction in June 2010 of minimum cash cover.
Also in September and December of 2010, requirements of cash payments for insurance were suspended for imported meat and poultry insurance until the end of March 2011 and sugar until the end of May 2011.