The Ministry of Finance and the Federation of Egyptian Banks (FEB) will decide on Wednesday on the amendment of the method of tax accounting paid by banks on investment in government debt instruments. Following this decision, the FEB formed a specialised committee to study this decision and its impact on the banks’ profits. In the memo, which Daily News Egypt obtained a copy of, the FEB confirmed its support to the ministry of finance in finding objective solutions to increase state resources. For his part, the CIB said that there is an open channel of communication between the FEB, the ministry of finance, and the Egyptian Tax Authority on this decision. Moreover, the rate of returns that the banks ask for from governmental debt instruments that the CBE issues on behalf of the ministry of finance will increase.

Source: Daily News Egypt November 26, 2018 18:00 UTC