The African Development Bank approved a new loan to Egypt last week.
The Ivory Coast-based financial institution loaned the Egyptian state-owned Banque Misr a $130 million line of credit. There is an additional $30 million from the Africa Growing Together Fund, according to a Nov. 10 press release.
The Africa Growing Together Fund is sponsored by China and administered by the African Development Bank.
The purpose of the loan is to provide extra liquidity to Banque Misr so it can extend loans to small- and medium-sized businesses and corporations. Banque Misr is to provide the loans to entities operating in industry, information and communications technology, and agriculture, per the release.
Know more: The loan also represents continued Chinese interest in the Egyptian economy. The Chinese tech giant Huawei signed a cooperation deal with Egypt’s Information Technology Industry Development Agency in August to help support Egyptian startups.
China also helped Egypt prepare for the United Nations climate change conference COP27, which is currently being held in Sharm el-Sheikh.
Egypt additionally announced in August it would start issuing bonds denominated in China’s currency, the yuan.