Debts of Egyptian business sector companies down 77% in 3 years

CAIRO - 5 December 2021: The debts of Egyptian business sector companies decreased by 77 percent  to LE 10 billion, the majority of which is in the interest of the tax authority, in about 3 years, according to the Egyptian Minister of Business Sector Hisham Tawfik.

“The value of the debt was LE 44 billion in 2018, including electricity, petroleum, solidarity and other parties. A settlement has been made with all parties, and only taxes remain,” Tawfik added.

Egypt’s Ministry of Public Business Sector is in the process of signing a contract for the production of electric cars with one of the three companies that are being negotiated during the current stage, according to Minister Hisham Tawfik.

Minister of Public Business Sector, said in statements on the sidelines of the Seventh CEO Conference, Sunday that the government has finished providing all incentives for electric cars, such as greening preparations, special support for the buyer, in addition to subsidizing the price of electricity.

Tawfik revealed that the first phase of the plan to establish electricity charging stations includes about 3,000 stations in three governorates, revealing that a new company will be established to manage these stations in partnership with a sovereign company with a 90 percent share.

In November, the Egyptian Ministry of Public Business Sector announced that negotiations with the Chinese “Dongfeng” company to produce the electric car “E70” had stopped as a result of the failure to reach an agreement with the Chinese company to reduce the price of the imported component sufficiently to enable Nasr Automotive Company to produce and launch the car at a competitive price.

It stated at the time that it would, in cooperation with the Holding Company for Metallurgical Industries and the Nasr Automobile Company, open new channels of communication with one of the specialized global consulting offices to identify an alternative partner, and it is expected that positive results will be reached before the end of November.

It is noteworthy that Egypt signed the framework agreement with the Chinese company, Dongfeng, to produce the E70 car, in January 2021, after a series of negotiations that took more time than expected due to the emergence of the Corona epidemic at the beginning of 2020.