€740m loan to support Egypt’s economy: European Investment Bank

Shaimaa Al-Aees
2 Min Read

Prime Minister Sherif Ismail and Minister of International Cooperation Sahar Nasr met with European Investment Bank (EIB) vice president Dario Scannapieco to sign loan agreements worth €740m on Sunday.

A loan worth €75m was signed between Nasr and Scannapieco for 13 rolling stock trains for the second line of the metro.

With respect to the support of small- and medium-sized enterprises (SMEs), the EIB signed two loans with two banks in Egypt.

Scannapieco signed a loan worth €500m with the National Bank of Egypt (NBE), and another €100m loan with the Qatar National Bank (QNB).

The EIB signed another loan with the Export Development Bank of Egypt valued at €30m to promote Egyptian exports in different sectors.

An agreement was signed between the EID and the government to provide consultancy services for the Port of Safaga project that will be developed through a partnership between Egypt’s public and private sectors.

The development of the Port of Safaga will contribute to developing the Golden Triangle project, a mega national project initiated by President Abdel Fattah Al-Sisi. The project is located between Qena, Safaga, and Al-Qusayr, an area rich in mining sources that make up 75% of Egypt’s mining minerals.

Ismail praised the role of the EIB in supporting the current government’s efforts to achieve economic development. The EIB provides Egypt with the necessary funding in some priority sectors, such as renewable energy, infrastructure, SMEs, education, health, transportation, drinking water, sanitation, and energy transmission lines.

Since 2015, the EIB has provided nearly €900m to Egypt for the Cairo metro project, the Damanhour power plant, and providing credit lines for SMEs. In 2015, the EIB lent some €120m to banks for these banks to lend to SMEs.

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