RIYADH: Egypt’s business community that is grappling with multiple challenges has urged the country’s prime minister to urgently intervene to prevent a complete shutdown of the production sectors.
In a letter written to Prime Minister Mostafa Madbouly, the Egyptian Businessmen Association stated that many factories have stopped operating due to the lack of the necessary production requirements, and are unable to pay dues.
Association members believe that the continued persistence of the present situation will lead to high inflation rates due to the imbalance between supply and demand.
Moreover, the body has called for the return of the system of collecting documents by banks for all import operations related to production requirements, industrial and agricultural.
Kamal El-Desouky, a member of the Federation of Industries and the Egyptian Businessmen Association, told Al-Arabiya there are many obstacles in moving from the payment system of shipping documents to that of documentary credits.
This decision will have large negative repercussions on the Egyptian industrial sector, he warned.
El-Desouki fears that the state's plan to increase exports to $100 billion annually will be disrupted by this decision, as the country lacks the required production and spare parts to maintain factories.
