NBE Granted EGP40bln Finance to Petroleum Sector in FY13/14

National Bank of Egypt (NBE)’s total finance value for petroleum sector reached around EGP40 billion within the last fiscal year of 2013/2014.

NBE pumped EGP13 billion direct finance in petroleum sector in addition to EGP27 billion indirect finance, an official source in the bank said.

NBE is the largest financier of petroleum sector in compared to the other banks and it seizes 30% from Egyptian General Petroleum Corporation (EGPC)’s funds that estimated at EGP65 billion.

EGPC negotiates with NBE so as to increase the issued letters of credit in favor of importing the Kuwaiti crude from US$1.5 billion to US$2 billion annually.

In 2013, Arab countries provided petroleum aids to the Egyptian government in order to overcome fuel rise crisis and the aids reached US$3.8 billion and this contributed in decreasing Petroleum imports to about US$2.6 billion during the first half of the last fiscal year in compared to US$6.5 billion in FY12/13, retreating with 60%.