CAIRO: Banque du Caire allocated 1.5 billion EGP ($210 million) towards the Central Bank of Egypt’s (CBE) 10 billion EGP Mortgage Finance Fund (MFF) initiative targeting low-middle income Egyptians.
On Feb. 19, CBE announced the launch of a new initiative to stimulate the mortgage sector by allocating 10 billion EGP to banks over 20 years, who will then re-lend the money to limited-income individuals at a 7 percent interest rate and to middle-income individuals at an 8 percent interest rate.
Mounir al-Zahed, Banque du Caire’s executive chairperson, announced Tuesday that the bank and its outlets would present the housing loans to people on low and middle incomes, Youm7 reported Tuesday.
Mai Abdel Hamid, the MMF head, announced Tuesday that applicants interested in a loan should present official certificates evidencing their monthly and yearly incomes, the Al-Bawabh news website reported.
“The banks will classify the low-income and average-income applicants through the provided certificates,” Hamid said.
“Self-employed applicants should present a certificate from the Egyptian Tax Authority or a certificate from a certified accountant proving their net income,” she added.
Accepted applicants will be provided with loans ranging from 5,000 to 25,000 EGP, Hamid said, according to Al-Bawabh, adding that the repayment period may extend to 20 years with a fixed interest.
Additional reporting by Ahmed Yacoub.