NBK Egypt to receive USD 25 mn from EBRD to fund green energy projects
The National Bank of Kuwait in Egypt (NBKE) is set to receive a USD 25 mn loan to fund green energy projects from the European Bank for Reconstruction and Development (EBRD), the bank announced in a statement. The funds will be lent on to Egyptian SMEs and individual households to finance investments that will help mitigate the impacts of climate change. The loan, which had been approved in April, will also see the Green Climate Fund contribute 15% of funds.
The EBRD has been upping its funding to Egyptian institutions for green projects. Last month the bank — along with the GCF and the European Union (EU) — approved a USD 50 mn loan to QNB Al Ahli for green projects to help the transition to a greener economy through the use of “high performance technologies.” Prior to that it had provided the National Bank of Egypt with USD 100 mn for on-lending to green projects. Ahli United Bank Egypt is also reportedly in line for up to USD 22 mn from the European lender and the GCF for on-lending to green projects and SMEs in agribusiness, manufacturing and services, and IT.
For more on EBRD’s plans for a greener Egyptian economy, check out our recent interview with EBRD President Odile Renaud-Basso + Southern and Easten Mediterranean Managing Director Heike Harmgart.
OTHER GREEN FINANCE NEWS- EBRD allocates more funding for greening cities: The EBRD has added an additional EUR 2 bn to its Green Cities Framework 2 Window 2, bringing the program’s total funds to EUR 3.65 bn. The project aims to help overcome environmental challenges in cities through its Green City Action Plans.
Will Egypt get a piece of the pie? Earlier this summer, the EBRD kicked off its Green City Action Plan with the New Urban Communities Authority for West Cairo through an inaugural USD 29.6 mn loan to partially finance the development of the Sixth of October Dry Port (DP6), which will cost a total of USD 60 mn.