Egypt's biggest bank seeks $500 million loans, eyes Saudi market

The National Bank of Egypt is looking to secure $500 million in loans by the end of June, shunning the issuance of bonds as it looks for less expensive ways to fund growth and boost dollar liquidity, the state-run lender’s deputy chairman said.

NBE, the country’s largest lender, is in early negotiations with international institutions for part of the financing, which will augment $1 billion in loans it has already secured, Yehia Abou Elfotouh said in an interview. While it had planned to sell between $1 billion and $1.5 billion in international bonds, it postponed the plan last year.

“We don’t think about bonds now, as borrowing from international institutions is cheaper and easier,” Abou Elfotouh said.