Ministry Of Petroleum Turns Down A $1bln loan

Eng. Abdullah Ghorab, minister of petroleum, said that the general authority of petroleum refused to resume the negotiations for getting a loan of a billion dollar from the global institution “Morgan Stanley”; because of its severity of the loan’s conditions.

Ghorab said, in his statement to Al Masry Al Youm, “Morgan Stanley” asked for increasing the loan interest rate, moreover, providing additional guarantees are consistent with the credit level of Egypt, which retarded according the global classifications; as it will market  a disbursement to the global banks and that what made the general authority of petroleum refuse. The ministry of petroleum was to specify this loan to meet the general authority of petroleum needs in both importing processes and saving the petroleum products of local market.

On his side, an official of petroleum ministry said, the authority’s refusal to “Morgan Stanley” loan will force it to ask more financial support from the ministry of finance to meet the expenses of importing the different petroleum products process.