The European Bank for Reconstruction and Development (EBRD) is providing a $ 60 million loan to Egyptian Fertilizers Company (EFC), the country’s largest private sector producer of granular urea, a substance used as fertilizer.
The EFC plant is located at the port of Ain Al Sokhna, Egypt's deepest port, approximately 55 kilometers south of the Suez Canal. The facility has a capacity of 1.65 million metric tonnes of urea every year, across two production lines. It also includes a blending unit for 325,000 metric tonnes a year of urea ammonium nitrate.
EFC is a wholly owned subsidiary of OCI N.V, a global producer and distributor of natural gas-based fertilizers and industrial chemicals, listed on the Euronext Amsterdam with operations in North America, Europe and North Africa.
Agriculture is a central sector of the Egyptian economy and contributes more than 11 per cent to the country’s GDP. The sector has to serve a fast-growing population under often-challenging climatic conditions.
This EBRD loan will provide EFC with long-term funds which will allow the company to restructure its balance sheet and invest in measures to increase its competitiveness.
The loan will also support the creation of job opportunities at the company for young Egyptians.
To date, the EBRD has committed over €3.6 billion in 80 projects in Egypt. The Bank started operating in the country in 2012.