The National Bank of Egypt (NBE) has deferred the debt payments of customers in the tourism sector who owe EGP 3 billion to the bank. The bank divided such debts into two segments; one is delayed for three months and the other is delayed for six months.
NBE has postponed the debt payments of customers in the tourism sector several times after 2011’s revolution as the bank supports the tourism sector which was the most affected sector by the turmoil that followed the revolution, sources said.
In addition, the bank targets to offer credit facilities of EGP 200 million to a number of hotels for resuming their expansions and financing their current activities. The bank plans to reduce the non-performing loan portfolio to EGP 5 billion by the end of FY 2012/2013 which will end on June 30th 2013.
The bank will acquire a hospital in Dokki under a debt settlement agreement in partnership with Egyptian Arab Land Bank (EALB) and the Arab Banking Corporation (ABC). The owner of the hospital owes EGP 115 million to the three banks. Sources said 60% of the debt is owed to EALB, 20% to NBE and 20% to ABC.
