EGIC could be up next for an EBRD loan: Local pipes and fittings manufacturer Egyptian German Industrial Corporation (EGIC) could receive a USD 50 mn credit facility from the European Bank for Reconstruction and Development (EBRD) to finance its operations, according to the lender’s website. The long-term loan has passed a final review and is awaiting approval on 12 September.

All about FX: The loan will cover part of the prominent exporter’s hard-currency working capital needs in 2024, supporting its ability to import raw materials and reduce its reliance on short-term funding, the EBRD said.

REMEMBER- Manufacturers have been struggling to import key components for more than a year after the war in Ukraine helped trigger a nationwide FX crunch that has made it difficult to secure the hard currency needed to cover shipments.

PLUS- Better governance: EGIC will commit to “an agreed quota for female staff to foster more open and diverse career progression opportunities for them” under the terms of the loan, the statement said. The company will also launch a leadership program meant to “enhance staff members’ skills towards promotion into middle-managerial and more senior roles.”

We’ve seen a ton of EBRD money lately: The lender is expected to approve a USD 125 m n loan in October to finance Damietta Port’s second container terminal, and is investing EGP 927 mn in water and power infrastructure in our new cities. It’s also in the process of granting a USD 400 mn loan to the National Bank of Egypt and USD 100 mn to Banque Misr.

Tags: