The TFP promotes foreign trade to, from and within the EBRD’s countries of operations, including Egypt. Through the facility, the EBRD will issue guarantees in favor of international commercial banks covering the political and commercial payment risk of the transactions undertaken by Crédit Agricole Egypt.
“We are very pleased to team up with Crédit Agricole Egypt for the first time and we welcome them to our trade facilitation program,” said Philip ter Woort, EBRD director for Egypt. “This facility will allow them to provide additional support to their Egyptian clients, contributing to the country’s overall economic growth.”
Launched in 1999, the TFP is the platform through which the EBRD provides guarantees to international confirming banks and short-term loans to selected banks and factoring companies for on-lending to local exporters, importers and distributors. The TFP currently includes more than 120 partner banks in 25 countries where the bank invests, with limits exceeding €1.5 billion in total and more than 800 confirming banks worldwide, the EBRD said.
“Today, we celebrate the launch of a fruitful cooperation with our partner, the EBRD,” said François-Edouard Drion, chairman and managing director of Crédit Agricole Egypt. “It reflects our belief in the Egyptian economy and its growth opportunities. It is also aligned with our aim to become the reference European bank in Egypt, bringing more facilities for the benefit of our clients and the Egyptian business community. This cooperation would result in major accomplishments, adding more strength to Crédit Agricole Egypt’s leading position and enabling the bank to further support the needs of its clients, who always come on top of our priorities.”
The EBRD said it has invested more than €1.8 billion in Egypt through 34 projects since the start of its activities in the country at the end of 2012.
The EBRD’s areas of investment include the financial sector, agribusiness, manufacturing and services, as well as infrastructure projects such as power, municipal water and wastewater services and contributions to the upgrade of transport services.
In the past few months the EBRD has been increasing efforts to facilitate more agriculture trade and financing in Bulgaria, Ukraine, Albania, Egypt, Kazakhstan, Poland, Romania, Tajikistan and Turkey through loans.