Banque Misr, Egypt's second largest state bank, has signed Wednesday a US$100 million loan with the China Development Bank (CDB).
Mohamed Eletreby – Chairman of Banque Misr's Chairman; and Hu Huaibang – Chairman of the CDB – have signed the loan deal in the Egyptian banque's headquarters in Cairo.
The five-year loan deal offers a two-year grace period, as the payment will start as of the third year.
The loan will contribute to boosting Banque Misr's dollar resources as well as financing strategic projects in Egypt.
This deal signals the keenness of the Chinese bank, which has a representation office in Cairo, to boost cooperation with Egyptian banks in all the fields.
The China Development Bank provides an opportunity to developing countries, including Egypt, to diversify their resources of financing and expertise to be benefited from in the small and medium sized (SME) projects.
Cooperation between Egypt and China has witnessed a significant improvement since Egyptian President Abdel Fattah al-Sisi held office in 2014. Sisi has exerted intensive efforts to strengthen the strategic partnership and relations between the two countries.