Egypt in talks with unnamed foreign lenders for USD 2 bn loan for transport projects
Egypt is in talks with unnamed foreign lenders for a USD 2 bn loan to fund new transport projects, Investment Minister Sahar Nasr said yesterday, according to a ministry statement (pdf). Nasr met with newly appointed Transport Minister Kamel El Wazir to discuss financing for the Transport Ministry’s planned infrastructure upgrades and other projects. Among the top priority projects is completing the development of Egypt’s railway, including the automation of signaling systems and the purchase of new locomotives. The World Bank had approved late last year a USD 3 bn loan to finance projects in the transport and other sectors, in addition to a separate USD 500 mn in loans for railway development projects.
Separately, Egypt is in negotiations with the World Bank for a USD 200 mn loan to fund welfare programs and the state’s new subsidy scheme, government sources told the domestic press. The bank offered Egypt a USD 500 mn loan to support its Takaful and Karama cash-subsidy programs at the end of last year.