The African Export-Import Bank (Afreximbank) has closed a syndicated loan worth $525m that is to be provided over five years for the Egyptian Electricity Holding Company (EEHC), a statement from the bank read.
The purpose of the loan is to aid the company in contributing effectively to the energy and power sector in Egypt. ” The facility will be used to import gas turbines and other related equipment supplied by General Electric, Canada, in the context of Egypt’s Emergency Power Plan,” the bank indicated.
Under the bank’s Export Credit Agencies Loans Facilitation Programme, eight other Egyptian and Gulf banks have participated in the loan arrangement, which are the Commercial International Bank (CIB), Arab African International Bank (AAIB), Banque Misr, National Bank of Egypt (NBE), Audi Bank, Egyptian Gulf Bank, Arab Banking Corporation and Alex Bank.
“The granting of the facility was part of the Bank’s commitment to pooling resources for large scale infrastructure projects in Africa in an effort to promote trade-enabling environments in its member countries, ” said Benedict Oramah, President of Afreximbank in a statement.
Oramah previously told Daily News Egypt that the amount of credit allocated for Egypt amounts to $500m in funding which was set a few months before September of this year. The bank will increase the amount to $1bn by early next year.