FILE PHOTO: Egypt's Finance Minister Mohamed Maait gestures during a news conference in Cairo, Egypt July 17, 2019. REUTERS/Amr Abdallah Dalsh/File Photo
DAKAR - 16 May 2022: Egypt has over the past period diversified its sources of financing, especially the green loans, in order to meet the development needs, affirmed Finance Minister Mohamed Maait.
Speaking before the 54th session of the Conference of African Ministers of Finance, Planning and Economic Development (CoM2022) in Dakar, Maait said it is difficult to obtain the suitable financing given the current circumstances, if compared to the pre-pandemic period when the global economy was in a good condition.
At that time, the African countries attained suitable growth rates, the minister went on to say.
Back in 2019, the inflation and interest rates were down and thus it was easy to obtain loans, he added, noting that unlike today the inflation and interest rates are high and the risks are also high.
The current phase is difficult due to the war in Ukraine, the sanctions imposed on Russia and the global supply chain disruptions, he added.
Even the hot capital has flown out of the developing countries, noted the minister.
Egypt has issued green bonds at a value of dlrs 750 million, said the minister, adding that the country is carrying out investments in infrastructure, electric trains and other projects which are in line with conditions of the green loans.
The minister further said that the financial market should reduce interest on loans for the countries which step up their transition to clean energy.