Egypt’s bureaucracy is struggling to handle the surge in LNG imports in recent weeks, with a backlog of tankers waiting to offload cargoes building up outside the Red Sea terminal of Ain Sukhna. The delay has been attributed to a delay in payments clearing from the Central Bank of Egypt (CBE), according to a well-placed source, rather than to any infrastructure issues.
The delay was due to “financial issues with traders regarding the letters of credit opening by the CBE,” the source says. This is not unusual for Egypt, with the CBE only sending a letter of credit to the supplier once the vessel has arrived at the port, according to a trading source. This often results in delays of between three to five days and sometimes longer, the source says. (CONTINUED – 465 WORDS)
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