IFC announced its $150m investment in El Sewedy Electric, alongside participation from First Abu Dhabi bank and Europe Arab Bank.
This loan will be used by El Sewedy Electric to help finance new projects and growth opportunities; such as new solar facilities in Africa as well as develop existing ones, alligning with IFC’s strategy in Africa.
During a signing ceremony at El Sewedy Electric’s HQ, Ahmed El Sewedy, President and CEO of El Sewedy Electric and Cheick-Oumar, IFC’s Director for North Africa, concluded the deal. Given that First Abu Dhabi Bank and Europe Arab Bank are also participants in the investment, Mohamed Abbas Fayed, FAB’S CEO also attended.
El Sewedy Electric is an Egyptian company specializing in energy, sustainable projects and green infrastructures.
“Improving access to energy—especially clean energy—brings numerous social and economic benefits. With Egypt preparing to host COP27 later this year, IFC’s partnership with ELSEWEDY is another step towards expanding affordable, renewable energy to consumers across Africa. We are pleased to see ELSEWEDY taking the lead in greening the infrastructure sector in Egypt and around the world.” said Sérgio Pimenta, IFC’s Vice President for Africa.
The Egyptian Company also plans to “build and acquire new plants globally” to expand and emphasize their existence in foreign markets, according to their press release.
“This announcement demonstrates our commitment towards our robust expansion and growth plans which meet our strategic vision and goals. Doing this in accordance with IFC standards and guidelines will serve as a benchmark for other regional and international players” said El Sewedy.
IFC’s investment will help reduce El Sewedy’s greenhouse gas emissions by around 60,000 tons of carbon dioxide every year.
It is worth mentioning that El Sewedy Electric will be repaying the loan over the course of seven years, with full rights to withdraw the loan over tranches as stated in the contract.
Read more: Egypt to receive a $500m loan from The World Bank for food security
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