CIB Contributes US$ 100 Mln To KIMA Loan

The Commercial International Bank (CIB), National Bank of Egypt (NBE), Banque Misr, Banque Du Caire and the other arrangers of the US$ 445 million loan for the Egyptian Chemical Industries Company (KIMA) have finalized the studies of the project and received the approvals from their boards of directors.

Heba Abdel Latif, head of credit department at CIB, said the loan arrangers agreed with KIMA over the loan conditions, term and interest rate. The final loan agreement is expected to be signed before the end of this month.

CIB approved to contribute to the loan which will be used to finance the construction of two lines for producing Ammonia and Urea powered by natural gas in Aswan.

NBE and Arab African International Bank (AAIB) will each contribute with US$ 100 million, CIB and Banque Du Caire with US$ 75 million and National Societe General Bank (NSGB) with EGP 95 million to the syndicated loan.

The value of the finance was reduced from US$ 516 million to US$ 445 million, representing 56.4% of the project’s total investment cost, estimated at US$ 787 million including charges. This loan is divided into a foreign-currency segment of US$ 224 million and a local-currency segment of US$ 221 million (=EGP 1.33 billion).