The Holding Company for Tourism and Hotel is in talks with Bank Audi and the National Bank of Egypt to secure a loan of 70 million Egyptian pounds ($3.9 million) as part of The Central Bank of Egypt (CBE) initiative to renovate hotels, Chairman Mervat Hataba said. The Central Bank of Egypt (CBE) launched an initiative to subsidise the renovation of hotels, floating hotels, and tourism fleets. Through the initiative, banks will secure 5 billion Egyptian pounds with an interest rate of 10%, extending over a maximum period of 10 years, according to the credit study conducted on each client separately. According to the CBE, the initiative directives stipulated that the main purpose of financing must be for renovation and renewal of hotels, floating hotels, and tourism fleets. Clients seeking funding must also be proven to be committed in repaying their loans. She told Amwal Al Ghad that the loan will be directed to renovate a hotel in Ras El Bar, Damietta, referring that the company plans to finish the development works as soon as possible in order to open by the end of the current year. The Holding Company for Tourism and Hotels ("HOTAC"), is an Egyptian joint stock holding company established in accordance with Public Enterprises Law No. 203 of 1991. The purpose of HOTAC, according to its statute, is to take part in the development of national economy in the fields of tourism, hotels, sound & light and other complementary and related economic activities undertaken by its affiliated companies.
