Cairo – Mubasher: Egypt’s mortgage finance activity grew by 12% during the first half of 2016, according to the Egyptian Financial Supervisory Authority EFSA.
The value of the mortgage contracts signed this year stood at EGP 9.88 billion, while the number of contracts declined from 1,367 to 1,239.
The finance directed towards the real estate activity as well as purchasing the lands topped the list as it amounted to EGP 8 billion with 73%, followed by the equipment with EGP 1 billion as it accounted for 9.4%, while the vehicles came in the third place with EGP 905 million or 8.2%.
Total credits of 7 mortgage financing companies have been recorded at LE2.7billion by the end of June, up by 62% from the comparable period of the previous years
Mortgage finance is governed in Egypt by Law No. 140, issued in 2001, and is supervised by the state-run financial watchdog EFSA.
According to the law, mortgage finance means to finance purchasing, construction, restoration and the development of houses, administrative units and any buildings designated for practicing trade.
