Ebeid wants Egyptian banks to swiftly resolve the problem of debts

Egypt's Prime Minister Atef Ebeid Tuesday said that the Cabinet has approved a final formula to settle debts of public business sector companies to Egyptian banks.

The debts will be repaid under an agreement reached between the government and the Banks Union.

Speaking at the first working session of the Egyptian Banks Union Conference which opened in Alexandria Tuesday, the Prime Minister said that the government is responsible for carrying out a decision regarding the revenues of commodity exports.

The Central Bank of Egypt is responsible for activating the inter-bank market and the Banks Union is now responsible for realizing transparency and flexibility and restoration of stability to money markets, banking activities and the exchange of information.

The Prime Minister said that the problem of unpaid debts is an international phenomenon that can be solved. Bank officials should cooperate to fix the actual volume of unpaid debts and this should be done within four weeks.

Ebeid stressed that it was important to develop the managerial system of the Egyptian banks and to make serious efforts so as to get them involved into new spheres such as retail services and the financing of mortgage sale of real estate.