EXCLUSIVE: Egypt’s main agricultural bank eyes central bank’s $638.5mn loan

Egypt’s main agricultural bank PBDAC is seeking a subordinated loan worth 5 billion Egyptian pounds (US$638.5 million) from the central bank, senior banking sources told Amwal Al Ghad Monday.

The Principal Bank for Development and Agriculture Credit’s targeted loan will be paid over 10 years, tailored to finance the bank’s restructuring scheme that aims to revive its contribution to the country’s economic development.

PBDAC was in talks with the central bank whose governor Tarek Amer reiterated his bank’s support for the restructuring scheme as pursuant to the banking system Law No. 88 of the Year 2003, the sources added.

PBDAC is preparing a memorandum to be sent to the government and the central bank, demonstrating the bank’s current situation and needs, which include the subordinated loan besides pumping 3.5 billion pounds in its capital to become 5 billion pounds eventually, the sources said.