5 Banks To Sign KIMA Loan Agreement Next February

The National Bank of Egypt (NBE), Commercial International Bank (CIB), Banque Misr, Banque Du Caire and Arab African International Bank (AAIB), arranging US$ 423 million loan for the Egyptian Chemical Industries Company (KIMA), will sign the definitive loan agreements next February.

Sources said NBE, Banque Misr, CIB and AAIB will each contribute US$ 90 million to the loan after reducing NBE’s contribution from US$ 150 million to US$ 90 million. Banque Du Caire’s contribution was also reduced from US$ 75 million to US$ 63 million.

The loan will be used to finance the renewal of KIMA’s fertilizers factory and the construction of two lines for producing Ammonia and Urea powered by natural gas in Aswan with investment cost of US$ 787 million.

It is worth noting that National Société Générale Bank (NSGB) had earlier withdrawn from the banking consortium and that the value of the loan was reduced from US$ 516 million to US$ 444 million and then reduced again to US$ 423 million.

The banks’ contributions to the loan are as follows: