CIB Secures $250 Mn Loan from IFC to Boost Capital and Green Projects
First Bank
Commercial International Bank (CIB), Egypt's largest private bank, has borrowed $250 mn from International Finance Corporation (IFC), a subsidiary of the World Bank, to support its capital and finance green projects, according to Bloomberg East.
Heba Abdel Latif, Head of Financial Institutions Sector at CIB, revealed that the bank has signed a loan agreement totaling $250 mn, divided into 2 parts. The first part is a 10-year Level 2 facility worth $150 mn, aimed at providing capital support for the bank's sustainable growth plans.
She indicated that the second loan is valued at $100 mn for a period of 7 years to finance a range of environmentally friendly projects, including water treatment and efficiency, green buildings and renewable energy sources, as well as sustainable agriculture projects.
Abdel Latif stated that the new financing was based on CIB's issuance of $100 mn in green bonds in 2021, which was fully subscribed by International Finance Corporation.
She also mentioned that CIB is in discussions with other development financial institutions to raise additional green financing this year to support its clients in their green transformation journey, according to Head of Financial Institutions Sector.
She further explained that loans from IFC came as a recognition of the bank's proactive focus on environmental, social, and corporate governance standards, along with enabling access to finance for women-led small and medium-sized enterprises. She concluded that the obtained loans will help the bank expand similar activities.
