The President of the Bank for Development and Agricultural Credit Ali Shekir said the bank was due to turn from a holding authority into a public sector bank, pointing out that the bank's general policy would rely on granting more loans and reducing investments. Speaking at the meeting held by the local popular council of the governorate of Fayoum, he said default reaches 95% in investment loans and a lower level when it comes to agricultural ones. He explained this policy has increased deposits (LE 20 billions), while loans have not exceeded LE 18 billion. On the contrary, loans had been more than deposits in 2007. Shaker added the bank would not lay off its temporary workers in the framework of the restructuring program given the social role it plays, stressing that the bank would abide by the contracts it has concluded with these workers. He affirmed the bank is being restructured so that it may compete with other banks, especially after the Prime Minister's approval to turn it in into a public authority like Misr Bank and the National Bank of Egypt. He also said the bank's capital would be increased from LE 1.8 billion to LE 3 billion, pointing out that all the branches of the bank nationwide are being renovated and restructured. As for its automation, he said it would be over next June. Ahmed Mansi, peasants' secretary at the National Democratic Party (NDP) General Secretariat, said it had been agreed at the Agriculture and Irrigation Committee of the People's Assembly [Egypt's lower chamber of Parliament] to add LE 50 for every ardeb [some 150 Kg] of wheat to the international price as a bonus to encourage farmers to cultivate and export wheat.
