QNB AlAHLI gets $100M senior loan from EBRD to support enterprises

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Mon, 11 May 2020 - 03:19 GMT

BY

Mon, 11 May 2020 - 03:19 GMT

EBRD - Reuters photo

EBRD - Reuters photo

CAIRO – 11 May 2020: The European Bank for Reconstruction and Development (EBRD) offered QNB ALAHLI with a financial package of $100 million senior loan to support local enterprises.

EBRD clarified that this comes within a program in response to the economic impact of the coronavirus pandemic in Egypt.

“This is the first investment to be delivered in the country under the EBRD’s coronavirus Solidarity Package, which was set up to meet the immediate short-term financing needs of existing clients,” it noted.

According to EBRD, it is extending a $100 million senior loan to QNB ALAHLI for on-lending to firms, with a special focus on small and medium-sized enterprises (SMEs) that are experiencing a decrease in their activities, turnover and/or profitability. “Small businesses form an important segment of the Egyptian economy and supporting them in these challenging times remains a priority for the EBRD.”

“In addition, the Bank is increasing an existing uncommitted trade finance limit for QNB ALAHLI by $100 million under the EBRD’s Trade Facilitation Programme to reach $250 million, to help meet the increased demand for import and export transactions,” it added.

EBRD Managing Director for the southern and eastern Mediterranean region Heike Harmgart commented: “We are very proud to roll out our swift support to the Egyptian economy by partnering with QNB ALAHLI. This financial package is key for the resilience of local Egyptian businesses – it will provide much-needed funding to SMEs, large enterprises and trade companies in this global crisis.”

“The latest transactions further show that the top priority of both the EBRD and QNB ALAHLI is to support clients through these challenging times, which is in-line with the Central Bank of Egypt directions to support SMEs projects. It also demonstrates the trust and confidence that we have built over the years, enabling us to continue our cooperation and deliver business even in the current crisis,” Chairman and Managing Director of QNB ALAHLI Mohamed El-Dib said.

EBRD noted that QNB ALAHLI is one of itslargest clients in the financial sector in Egypt, clarifying that the bank has been a longstanding partner of the EBRD since 2015, when a first SME loan and a trade finance facility were signed.

The EBRD expects to dedicate the entirety of its activities to combating the economic impact of COVID-19 crisis and stands ready to provide support worth €21 billion over the period 2020-21.

Earlier in May, QNB Al Ahli (QNBAA) applied for a solidarity loan from the European Bank for Reconstruction and Development worth up to $100 million as part of the EBRD’s response to the COVID-19 pandemic.

Qatar National Bank Alahly (QNBA) recorded consolidated profits of LE 1.86 billion during the first quarter of 2020, compared to LE 2.02 billion including minority rights, during the same period of 2019, marking a decrease of 7.5 percent.

QNB Alahli operates within the banking sector. It has subsidiaries operating across Egypt.

Egypt is a founding member of the EBRD. Since the start of its operations there in 2012, the Bank has invested over €6 billion in 115 projects in the country.

QNB Al Ahli applies for up to $100M solidarity loan from EBRD

CAIRO - 4 May 2020: QNB Al Ahli (QNBAA) applied for a solidarity loan from the European Bank for Reconstruction and Development worth up to $100 million as part of the EBRD's response to the COVID-19 pandemic, according to EBRD. The loan that is scheduled for approval on May 6 is under the EBRD's Resilience Framework ("RF").



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