Mubarak to probe banks draft law to raises bank regulation standards

Egypt's President Hosni Mubarak will meet Prime Minister Atef Ebeid and banking system Senior officials within the coming days to review the banks draft law before sending it to people's Assembly.

The draft law is based on the full separation between the ownership, control and management, an official, source said. Under the draft law, the shareholders cannot get loans or credit facilities for their stocks.

The draft law also banned increasing the ownership rate before the central Bank of Egypt CBE's approval.

The CBE, under the draft law, will review the bank's activities.

The banks also should notify the CBE on any changes including the appointment of new managers.

The draft law authorised the CBE governor to sack the Bank president who breaches the law.