The New Urban Communities Authority (NUCA) has approved the reduction of penalties imposed on individuals and developers for delayed payments for residential and commercial units and small land plots of less than 8400 square meters within all new cities, purchased through the authority, Invest-Gate reports.

NUCA linked the reduction to the payment rates, Housing Minister Mostafa Madbouly said in a statement.

In case of full payment of all financial dues, the individual is exempted from the full delay penalties.

If 25%, 50% or 75% of the necessary payments are paid, the individual is exempted from 20%, 45% or 70% of the delay penalties, respectively.

The exemptions will last for two months, starting from  April 11. After this date, the cities’ authorities will immediately take all legal and administrative actions against those who failed to pay.

The statement added that in case of a judicial dispute over the penalties, payments shall not be made until all the legal proceedings against NUCA have been waived by the clients.