Supporting the expansion of international and intra-regional trade in Egypt, the European Bank for Reconstruction and Development (EBRD) is providing a new US$ 50 million trade facility to Banque Misr, Egypt under the EBRD’s Trade Facilitation Programme (TFP).
Through this facility the EBRD will issue guarantees in favour of international commercial banks covering the political and commercial payment risks of the transactions undertaken by Banque Misr as well as provide financing for export and import transactions.
The EBRD will also provide technical assistance to enable Banque Misr staff working in trade finance to receive training in the latest international best practices.
Launched in 1999, the TFP aims to promote foreign trade to, from and among the countries where the EBRD invests. Through the programme, the EBRD provides guarantees to international confirming banks and short-term loans to selected banks and factoring companies for on-lending to local exporters, importers and distributors.
The TFP currently includes over 100 partner banks in 29 countries where the Bank invests, with limits exceeding €1.5 billion in total, and more than 800 confirming banks worldwide.
Egypt is a founding member of the EBRD. To date, the Bank has invested over €4.4 billion in 86 projects in the country since it began investments there in 2012. The Bank has also provided technical assistance to more than 750 small and medium-sized local enterprises.
SUBMITTED BY By Nibal Zgheib