CAIRO – Commercial International Bank (CIB), Egypt’s leading private sector bank, has secured a significant financial boost with a USD 150 million subordinated loan from the European Bank for Reconstruction and Development (EBRD). This strategic move is aimed at reinforcing the bank’s capital base and advancing its growth plans within Egypt’s evolving market landscape.
The Tier II capital loan, which carries a ten-year maturity period, is designed to enhance CIB’s capital structure. This additional capital serves as a critical buffer to safeguard against potential economic downturns, ensuring stability and supporting the bank’s future growth ambitions. Beyond strengthening CIB’s financial position, the loan also underscores the bank’s commitment to fostering green economy lending activities—a key area of focus for both institutions.
CIB’s Chairman, Mr. Hisham Ezz El Arab, highlighted the importance of the partnership with EBRD, particularly in light of current economic challenges. He emphasized that this financial support would not only solidify the bank’s capital foundation but also catalyze their strategic initiatives aimed at seizing new opportunities within Egypt’s market.
Echoing this sentiment, Mr. Jürgen Rigterink, EBRD’s First Vice President, acknowledged the positive implications of this agreement. He pointed out that the loan would contribute significantly to consolidating CIB’s overall capital base while simultaneously promoting environmentally sustainable lending practices.
This loan agreement reinforces CIB’s status as an OTCQX International Premier member since December 2013, reflecting its proactive efforts to maintain a robust capital position and its dedication to contributing positively to Egypt’s economic growth.
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