Egypt discussions on one billion loan with World Bank

The Egyptian news agency MENA reported that an official at the World Bank has announced the readiness of the bank to offer Egypt a loan estimated at $ one billion, with the participation of other sides, for a period of three years at an annual rate of 2.5% to be paid back in 5 years following a grace period of seven years.

The news agency quoted the executive director at the World Bank, Muhammad Kamel Amro, as saying that the Egyptian government and the Bank are carrying discussions in preparations to sign a loan agreement at $ one billion, shared between the World Bank and the African Bank for Development allotted to finance structural and economic reforms programs in Egypt.

Amro added that the discussion cover areas of spending the loan according to priorities of the government to creating new work opportunities through financing smaller projects and retraining of graduates.

Amro said that the loan will be ready as from October this year.

A high ranking official at the World Bank announced by the end of October 2001 that the World Bank will offer Egypt within the coming years loans at a total value of $ 1.5 billion with the aim of developing the rural areas, the health and educational sectors, training and media technologies.

The African Development Bank also expressed during the first period its readiness to offer Egypt within three years loans estimated at $ 1.6 billion.