{"id":606005,"date":"2023-09-10T00:00:00","date_gmt":"2023-09-10T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2023\/09\/10\/finmin-wants-usd-2-bn-in-new-borrowing-this-year\/"},"modified":"2023-09-10T00:00:00","modified_gmt":"2023-09-10T00:00:00","slug":"finmin-wants-usd-2-bn-in-new-borrowing-this-year","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2023\/09\/10\/finmin-wants-usd-2-bn-in-new-borrowing-this-year\/","title":{"rendered":"FinMin wants USD 2 bn in new borrowing this year"},"content":{"rendered":"<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"> <strong> The Finance Ministry is looking to secure USD 1.5-2 bn in fresh loans by 4Q 2023<\/strong>, Finance Minister Mohamed Maait told <a target=\"_blank\" href=\"https:\/\/bit.ly\/462kca2\" style=\"\" rel=\"noopener\">A<\/a> <a target=\"_blank\" href=\"https:\/\/bit.ly\/462kca2\" style=\"\" rel=\"noopener\">sharq Busines<\/a> <a target=\"_blank\" href=\"https:\/\/bit.ly\/462kca2\" style=\"\" rel=\"noopener\">s<\/a> in an interview. This includes a planned USD 500 mn CNY-denominated panda bond issuance and a second <a target=\"_blank\" href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/6170918c-d131-411e-a667-a3f24c66a66c\" style=\"\" rel=\"noopener\">JPY-denominated samurai issuance<\/a> worth <a target=\"_blank\" href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/2857ec15-d37e-4e4d-a65d-ff47ee88cc80\" style=\"\" rel=\"noopener\">USD 500 mn<\/a>. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong> This target has tempered somewhat from July<\/strong>, when the minister said the government was targeting <a target=\"_blank\" href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/6177f96a-174f-49f5-8453-84604d883121\" style=\"\" rel=\"noopener\">USD 3 bn in fresh debt raises<\/a> before the end of the year. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong> Remember: <\/strong> Egypt has only tapped the international debt markets <a target=\"_blank\" href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/6152c0e0-66bd-48d5-b73f-1de6cac73e6c\" style=\"\" rel=\"noopener\">once since March 2022<\/a> after the knock-on effects of the war in Ukraine and tighter global financial conditions all but locked us out of the international debt markets and raised concerns about Egypt\u2019s debt sustainability.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong> Progress on panda issuance next week? <\/strong> The <a target=\"_blank\" href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/dd6bc6f9-fefc-4e44-aeec-789adf397228\" style=\"\" rel=\"noopener\">Asian Infrastructure Investment Bank<\/a>(AIIB) is expected to approve ins. coverage worth USD 230 mn for our panda bond issuance in a meeting in Cairo on 21 September, Maait told the news outlet. The <a target=\"_blank\" href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/b14c48be-738f-45a5-8d23-28974b1f7d4c\" style=\"\" rel=\"noopener\">African Development Bank<\/a>(AfDB) has said it will provide USD 345 mn in ins. coverage for the issuance. The money will be used to fund sustainable development projects.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong> Refresher: <\/strong> The government is facing a <a target=\"_blank\" href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/2f25427b-43e1-4104-9b7a-2aea214242b2\" style=\"\" rel=\"noopener\">USD 17 bn external financing gap<\/a> between 2023 and 2026, according to the IMF, which it is trying to fill via a mixture of state asset sales, new concessional financing from multilateral lenders, higher tourism revenues, and increasing exports, as well as the USD 3 bn IMF loan. The country\u2019s external debt bill rose to a <a target=\"_blank\" href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/450c2cb7-4819-4598-a61f-cb17259fbe7b\" style=\"\" rel=\"noopener\">record USD 165.4 bn<\/a> by the end of March 2023<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong> 1H 2023 was expensive for debt repayments: <\/strong> The government spent USD 25.5 bn on debt servicing costs during the first half of the year, Maait said in an interview with the state <a target=\"_blank\" href=\"https:\/\/www.mena.org.eg\/ar\/news\/dbcall\/table\/textnews\/id\/10337120\" style=\"\" rel=\"noopener\">MENA news agency<\/a> yesterday.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong> Putting this in perspective: <\/strong>The state paid off USD 52 bn in principal and interest across the entire 2021-22 and 2022-23 fiscal years, the minister said.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong> Things don\u2019t let up in the coming months and years: <\/strong> The government has another USD 15.1 bn in short- and long-term debt repayments during the second half of this year, followed by another USD 46.3 bn in medium- and long-term repayments during 2024 and 2025, according to the most recently-available <a target=\"_blank\" href=\"https:\/\/ent.news\/2023\/9\/685.pdf\" style=\"\" rel=\"noopener\">central bank figures (pdf)<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The ministry is currently working on raising up to USD 1 bn via bond issuances in China and Japan<\/p>\n","protected":false},"author":1,"featured_media":606006,"comment_status":"closed","ping_status":"open","sticky":false,"template":"single-feature.php","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7274],"tags":[88,72,276,277],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-606005","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-debt-watch","tag-debt-watch","tag-enterpriseam","tag-finance-ministry","tag-mohamed-maait","wpautop","entry"],"acf":{"mongo_id":"67dc1e03-38c4-429c-b223-cb07288defa2","is_powered_by":false,"story_type":"1","photo_url":"https:\/\/ent.news\/2023\/9\/686.jpg","photo_position":"above","homepage_title":"","full_issue_title":"Egypt\u2019s finance ministry targets USD 2 bn in fresh debt raises this year","related_issue":[605996],"teaser":"The ministry is currently working on raising up to USD 1 bn via bond issuances in China and Japan","voice_url":"https:\/\/s3.us-east-1.amazonaws.com\/ent.news\/audio\/2023\/9\/.1c99835e-f07d-43f3-ac14-9f1ef2ecfc54.mp3"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.1 (Yoast SEO v27.1.1) - 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The timing of the issuance is still undetermined and the ministry will pull the\u2026","rel":"","context":"In &quot;Economy&quot;","block_context":{"text":"Economy","link":"https:\/\/enterpriseam.com\/egypt\/category\/economy\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2022\/12\/155.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":587443,"url":"https:\/\/enterpriseam.com\/egypt\/2023\/05\/28\/finmin-to-take-usd-500-mn-panda-bond-issuance-to-market-in-3q-2023\/","url_meta":{"origin":606005,"position":1},"title":"FinMin to take USD 500 mn panda bond issuance to market in 3Q 2023","author":"enterpriseam admin","date":"28 May 2023","format":false,"excerpt":"The ministry delayed the issuance due to volatile market conditions","rel":"","context":"In &quot;DEBT WATCH&quot;","block_context":{"text":"DEBT WATCH","link":"https:\/\/enterpriseam.com\/egypt\/category\/debt-watch\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2023\/5\/1453.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":590005,"url":"https:\/\/enterpriseam.com\/egypt\/2023\/07\/12\/finmin-wants-to-raise-usd-3-bn-in-debt-by-the-end-of-2023-plus-quick-economic-update-from-maait\/","url_meta":{"origin":606005,"position":2},"title":"FinMin wants to raise USD 3 bn in debt by the end of 2023. PLUS: Quick economic update from Maait","author":"enterpriseam admin","date":"12 July 2023","format":false,"excerpt":"Egypt has only tapped the int\u2019l debt markets once since March 2022","rel":"","context":"In &quot;Economy&quot;","block_context":{"text":"Economy","link":"https:\/\/enterpriseam.com\/egypt\/category\/economy\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2023\/7\/447.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":567238,"url":"https:\/\/enterpriseam.com\/egypt\/2020\/01\/16\/egypt-is-pressing-pause-on-usd-denominated-eurobond-issuances-for-the-remainder-of-fy2019-2020\/","url_meta":{"origin":606005,"position":3},"title":"Egypt is pressing pause on USD-denominated eurobond issuances for the remainder of FY2019-2020","author":"enterpriseam admin","date":"16 January 2020","format":false,"excerpt":"EXCLUSIVE- The government is pressing pause on USD-denominated eurobond issuances for the remainder of the current fiscal year and will instead rely on a diverse set of debt instruments during the coming period, Finance Minister Mohamed Maait told Enterprise. Egypt successfully issued USD 2 bn-worth of USD-denominated eurobonds in a\u2026","rel":"","context":"In &quot;Speed Round&quot;","block_context":{"text":"Speed Round","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":544837,"url":"https:\/\/enterpriseam.com\/egypt\/2022\/03\/23\/samurai-bonds-coming-on-thursday\/","url_meta":{"origin":606005,"position":4},"title":"Samurai bonds coming on Thursday","author":"enterpriseam admin","date":"23 March 2022","format":false,"excerpt":"Our inaugural Samurai bond issuance is back on: The Finance Ministry plans to sell USD 500 mn in JPY-denominated Samurai bonds in Japan on Thursday, Mohamed Hegazy, head of the ministry\u2019s debt unit, told Enterprise yesterday. The issuance was announced by Finance Minister Mohamed Maait earlier this year, who said\u2026","rel":"","context":"In &quot;DEBT WATCH&quot;","block_context":{"text":"DEBT WATCH","link":"https:\/\/enterpriseam.com\/egypt\/category\/debt-watch\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2022\/3\/311.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":599883,"url":"https:\/\/enterpriseam.com\/egypt\/2019\/01\/14\/finmin-heads-east-ahead-of-egypts-bond-issuances\/","url_meta":{"origin":606005,"position":5},"title":"FinMin heads east ahead of Egypt\u2019s bond issuances","author":"enterpriseam admin","date":"14 January 2019","format":false,"excerpt":"Maait heads to Asia to pave the way for bond issuances: Finance Minister Mohamed Maait will begin a trip today that will see him visit Japan, South Korea, Hong Kong and China to discuss bond issuances. The government is now more flexible and is seeking to diversify \u201cthe currency, the\u2026","rel":"","context":"In &quot;Speed Round&quot;","block_context":{"text":"Speed Round","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]}],"_links":{"self":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/606005","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/comments?post=606005"}],"version-history":[{"count":0,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/606005\/revisions"}],"acf:post":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/issue\/605996"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media\/606006"}],"wp:attachment":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media?parent=606005"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/categories?post=606005"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/tags?post=606005"},{"taxonomy":"brand","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/brand?post=606005"},{"taxonomy":"newspack_spnsrs_tax","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/newspack_spnsrs_tax?post=606005"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}