Egypt: Thousands of Construction Workers Forced Into Homelessness Due to COVID-19

The spokesperson of the Association of Brick Factory in Egypt told the New Arab news site in a statement, that 70% of the brick factories in Egypt (2000 factories), out of about 2850 factories nationwide, yielded production and their workers were rendered into homelessness due to the inability of these factories to pay their salaries.

 

The spokesperson attributed the main reason behind to the issuing of a decision to suspend construction for a period of 6 months, and with the crisis of the global Coronavirus pandemic, sales fell by a rate of up to 75%.

 

He also pointed out that this decision caused harm to the interests of more than 350.000 individuals working in this profession, pointing out that “he had not witnessed a similar crisis, as experienced by owners of brick factories, in his entire life since he started this profession in 1986”

 

The Spokesperson also called on the government to intervene to save this industry, by opening new marketing outlets, rescheduling the debts of some companies while prolonging the repayment period, and granting them operating loans with interest rates not exceeding 5%.

 

He also added that the government should provide support for these displaced workers on the economic, social and health levels.

 

The Spokesperson lastly pointed out that the gas-powered factories, which number about 800, have benefited from the government initiative to cancel the accumulated interest on the gas bills that were not paid as a result of the recession that hit the real estate market.

 

Last May, Egyptian Minister of Local Development Mahmoud Shaarawi issued Resolution 181 of 2020, instructing governors to stop issuing licenses for building, expanding, modifying, or supporting construction work for private housing in The Greater Cairo area, Alexandria, and all major cities.

 

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