Egypt getting a shot in the arm from Chinese banks
State-owned Egyptian lender Banque Misr has signed big deals with CDB and ICBC, as China continues strategic initiatives in the region
Chinese Development Bank (CDB) and Industrial and Commercial Bank of China (ICBC) have signed a series of deals with Egyptian state-owned lender Banque Misr, reports Global Trade Review.
CDB will provide an eight-year US$500 million loan to finance “strategic projects.” The deal follows CDB’s five-year US$100 million financing deal with the Egyptian bank agreed to last year.
Bankque Misr also signed a US$100 million agreement with ICBC to finance a Huawei-led smart city project in Egypt. The loan is part of an agreement with China’s export credit agency China Exim and insurer Sinosure to guarantee US$500 million in projects.
ICBC announced last February plans to invest US$20 billion in Egypt over the next ten years. The bank, which is the world’s largest by assets, is seen as a vehicle for advancing Beijing’s strategic goals, such as the One Belt, One Road initiative.