Egypt Cabinet ratifies EBRD€100m Loan for Cairo Metro

Egyptian Cabinet has approved Thursday a €100 million loan provided by the European Bank for Reconstruction and Development (EBRD) to upgrade the country’s public transport sector.

The loan is for the procurement of 13 new trains. These will be operated on Line 2 of the Cairo Metro under a supply and maintenance contract and will improve the daily journeys of commuters.

It is being provided under the EBRD’s new Integrated Approach for the Cairo Urban Transport Sector. This approach aims to improve public transport services in Cairo and the surrounding areas through investment and reform.

“Traffic congestion in Cairo has been increasing at a rapid pace, leaving people immobile, particularly during peak hours. There is a clear and urgent need to increase the number of higher capacity and low-emission public transport vehicles since even a modest shift by commuters to Metro and bus travel will have a significant impact on congestion and pollution levels. Used by over 2.4 million passengers per day, the Metro is one of the key modes of public transport in the city.” EBRD said in an earlier statement last December

“The EBRD funds will thus help to alleviate traffic congestion in Cairo, increasing the capacity of Metro Line 2 by approximately 23 per cent. Furthermore, as part of the project, an on-site training programme for unemployed young people will be organised to enhance their skills.”

Earlier this month, EBRD’s Philip ter Woort said his bank had invested €1.7 billion (US$2 billion) in Egypt through 32 projects since it started working in the country in 2012.

EBRD’s investments primarily include in industrial, transport, energy, and infrastructure sectors.