New law on private gov't funds, accounts put into force

CAIRO - 23 June 2017: A law that allows the government to integrate private government pension funds into the state budget has been put into force, said the finance ministry on Friday.

The step followed the approval of the president and the release of the law in the the official gazette, said the ministry. The law, whereby a percentage of the funds accounts will be deduced, aims at securing extra financial resources for the state treasury.

The new law names bodies that will be excluded from the implementation, it noted. The bodies excluded are the research projects, international grants, donations, university hospitals' accounts, research centers, universities, special health care funds and social housing projects.

The portion is set by the law at 1 percent of the accounts whose value exceeds LE 5 million. As per the accounts which exceed LE 20 million, the portion is set by 5 percent, 10 percent for the accounts estimated at over LE 50 million and 15 percent for the funds estimated at LE 100 million.