NBE to grant credit for 640 housing units

The National Bank of Egypt (NBE) will grant credit for 640 housing units falling under the Central Bank of Egypt’s (CBE) initiative for social housing for the low-middle income class.

The CBE launched a mortgage initiative last April worth EGP 10bn for real estate financing. The initiative involves funding housing for low-middle income classes at concessional terms over a period of 20 years.

Annual interest rates for low income receivers are 7%, whilst middle income classes are to pay an annual interest of 8%.

Request to banks for funding have been increasing in the past few months according to Karim Sous, Head of Retail Credit Risk Sector at NBE. He further highlighted that the NBE and Banque Misr will be participating in the initiative through providing an amount of EGP 3bn each.