Investment Minister Mahmoud Mohi Eddin told parliament on Sunday that all debts owed by privatized companies would be paid back to banks as of 1 July. Privatized firms are said to have accrued a total of some LE34 billion worth of debts since 2004.
“This will serve to reduce the losses of privatized companies by 50 percent,” the minister explained.
Responding to a question on where the ministry would obtain the necessary funding, Mohhi Eddin said outstanding debts would be paid by Egypt’s central bank. He declined, however, to answer a question about losses incurred by the Omara Effendi Company since its privatization, which reportedly stand at LE532 million.
MP Zakaria Azmy warned that workers of privatized company Amonsito may stage a new round of demonstrations since their problems had not yet been resolved.
Translated from the Arabic Edition.
