Egypt Independent

Govt to establish fund to help ailing factories



The presidency is considering establishing a fund of up to LE3 billion to help factories that are incurring loses, to which local funding institutions would contribute, according to Abla Abdellatif, the head of the economic council, an advisory board affiliated with the presidency.
 
A senior official suggested that the Industrial Modernization Center manage the fund, as the center has an inventory with the number of ailing factories. According to the official, up to 960 factories are incurring loses, 150 of which have now reached solvency.
 
There is a possibility to negotiate with Gulf financial institutions to contribute to the fund's capital, from which 1,500 factories are expected to benefit, he added. 
 
The fund will also help factory owners who owe debts to the banking sector, which has declined to provide further funding.
 
Abdellatif ruled out the possibility of negotiation with Gulf financial institutions, saying the fund will be local.
 
 
Edited translation from Al-Masry Al-Youm