Eximbank to provide more than $ 300 million to Egypt for railway project
Headquarters of the Export-Import Bank of Korea in Seoul (Eximbank)
The Export-Import Bank of Korea said on Wednesday it would offer more than $ 300 million in loans to the Egyptian government’s railway modernization project.
The state-run political lender plans to provide a combined amount of $ 312.2 million to the African nation through the “Economic Development Cooperation Fund” as well as the “Economic Development Promotion Facility” .
Launched in 1987, the EDCF aims to help poor and less developed countries by offering them long-term loans at low interest rates. The EDPF, which was created in 2016, is an improved version of the EDCF that focuses on supporting infrastructure programs.
âEgypt has been Korea’s biggest exporter to Africa since last year. It is important for us to strengthen economic cooperation with the country given the size of its economy, its population and its geopolitical situation, âEximbank said in a statement.
EDCF and EDPF will respectively grant $ 251.6 million and $ 60.6 million to the proposed railway project in Egypt.
The lender expects joint financial support from the two main funds to help the Egyptian government ‘s efforts to improve public infrastructure, while helping Korean companies make inroads into the various development projects of the African country.
Since 2009, the Egyptian government has implemented a series of infrastructure programs to modernize the country’s cross-border railways and highways. If the on-going railway modernization project is carried out with funding from Eximbank, it will revitalize Egypt’s tourism industry and logistics environment, thereby boosting the country’s economic development, the said. public bank.
“We will continue to expand our financial support for infrastructure projects in emerging economies by using its funds to further Korea’s diplomatic relations with them.”
By Choi Jae-hee ([email protected])