Egypt issues second tranche of export subsidies in ongoing phase, Trade Minister

Egypt's Export Development Fund has recently allocated certificates for the second tranche of the sixth phase of its export subsidies initiative, disbursing a total of LE 4.7 billion, announced Minister of Trade and Industry, Ahmed Samir. This initiative, a collaborative effort between the Ministries of Finance and Trade, in conjunction with several banking institutions, seeks to ease the financial burdens faced by exporting companies due to local and global economic challenges.

In an official statement from the Ministry of Trade, Amani Al-Wasal, the executive director of the Export Development Fund, highlighted that a diverse range of 1,193 companies across various export sectors submitted applications for the second tranche of the initiative.

Earlier this month, the cabinet sanctioned an additional allocation of LE 2 billion ($64.73 million) for the ongoing sixth phase of the initiative, increasing the total funding for the immediate disbursement of export subsidies program to LE 12 billion for this phase.

Nevine Mansour, an advisor to the Deputy Minister of Finance for Financial Policies and Institutional Development, stated in July that the Export Development Fund has disbursed over LE 42.5 billion since the inception of the initiative.

The fund had begun its disbursement of the ongoing sixth phase by releasing LE 8.7 billion in the first tranche on July 5th.

Egypt’s trade deficit increased by 4.3 percent in May 2023, with exports experiencing a decline of 20.9 percent in value, reaching $3.38 billion. In the larger context, Egypt has set its sights on raising its total annual exports to an impressive $100 billion by the year 2030, underscoring the country's commitment to economic growth and expansion in the global trade arena.