Four Egyptian banks brace for biggest ever loan to build 500k low-income homes

Four Egyptian banks will be arranging the biggest financing in the history of the country’s housing sector worth 20 billion Egyptian pounds (US$2.25 billion).

State-run Social Housing Fund is expected to receive billion pounds loan from the National Bank of Egypt (NBE), Banque Misr, Banque Du Caire, and Housing and Development Bank (HDB).

NBE, Banque Misr, and Banque Du Caire have decided to contribute around 6.33 billion pounds each to the loan; while the HDB’s share will amount to one billion pounds, a source familiar with the matter told Amwal Al Ghad on condition of anonymity.

The financing is designated to secure liquidity needed to build 500,000 housing units as part of the country’s national project to build one million homes for low-income citizens, the source added.

The loan will be repaid over four years, the source said, expecting the fund and the four lenders would sign the final agreements within the current month.