Banque Du Caire may pump €35 mln into Suez Canal and railway loans

Banque Du Caire, one of Egypt’s largest and oldest public banks, is considering spending between €30 million and €35 million ($34.8 million and $40.6 million) on two syndicated loans.

The bank may pump €20 million into Suez Canal Authority’s loan of €300 million, which is designed to buy two dredgers, a senior source in the bank told Amwal Al Ghad on Saturday.

Suez Canal Authority signed earlier this month a €300 million contract with Netherlands’ Royal IHC for the design and construction of two custom-built 29,190kW heavy-duty rock cutter suction dredgers (CSDs).

Banque Du Caire also plans to invest between €10 million and €15 million in a financing for the Egyptian Railway Authority to purchase 100 new locomotives, the source said.