IFC could provide financial support to more Egyptian companies: The International Finance Corporation (IFC) is considering extending loans to Al Baraka Bank and Edita, according to the lender’s website.

#1- Al Baraka Bank could get a USD 55 mn IFC loan: The International Finance Corporation (IFC) is considering loaning USD 55 mn to Al Baraka Bank Egypt for on-lending to local and women-owned micro, small and medium size enterprises. The IFC’s board was expected to take a decision on the loan on Monday but a source at Al Baraka told us yesterday that it is still being discussed between the two sides.

The breakdown: The financing package includes a one-year USD 50 mn loan which can be renewed for two additional years, and a USD 5 mn loan under the IFC’s Trade Finance Facility.

#2-Edita could borrow USD 30 mn: The IFC could lend up to USD 30 mn to EGX-listed snackmaker Edita Food Industries to support its working capital and fund fresh capex. The board is set to meet on 31 August to discuss the loan.

The breakdown:The USD 30 mn loan would mobilize up to USD 15 mn to Edita Food Industries, Edita Participation Cyprus and Edita Trade and Distribution to support the groups capex requirements in Egypt and Morocco, working capital requirements and potential expansion in Africa and the Middle East regions, according to the IFC.

Remember: Edita previously said that it wants to more than double its capex this year, with plans to invest EGP 800 mn up from EGP 353.6 mn in 2022.

A job-maker: The IFC’s facility to Edita is expected to support over 7k jobs in Egypt and create 400 new positions in Edita’s production and supply chain, the lender said. The loan will also help the company withstand the impact of the ongoing FX shortage and inflation.

Remember: The IFC has been busy in Egypt recently, last month lending CIB USD 250 mn to support its working capital and finance green projects and agreeing a USD 50 mn sharia-compliant facility with Abu Dhabi Islamic Bank Egypt.

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