EBRD to finance agribusiness in five countries including Egypt with $200 mln loan

Doaa A.Moneim , Tuesday 18 Aug 2020

The European Bank for Reconstruction and Development (EBRD) has handed a $200 million loan to Olam International Limited, a leading global trader in agricultural commodities, to strengthen the agribusiness value chain and trade in five economies across the Eastern Mediterranean, Eastern Europe and the Black Sea region, including Egypt, the EBRD announced on Tuesday.

The EBRD loan will provide finances for agricultural commodity purchases such as hazelnuts, dry dairy products, grain and onions in selected countries of operation, while local subsidiaries of the company will be responsible for processing, storage and distribution of such goods, according to EBRD.

The European Union and the Taiwan Business-EBRD Technical Cooperation Fund will provide donor support for the development of new methodologies and processes for climate-related risk management and stress testing in Egypt and Turkey, the EBRD said.

Olam International is a leading food and agribusiness company supplying food, ingredients, feed and fibre to over 25,000 customers in more than 60 countries across the world. Headquartered in Singapore, Olam is listed on the Singapore stock exchange. The company is 53.4 percent owned by Temasek Holdings and 17.4 percent by Mitsubishi Corporation, according to EBRD data.

To date, the EBRD has invested close to €13 billion in more than 740 agribusiness projects, of which 99 percent are in the private sector, aiming to boost agribusiness value chains and promote economic transition across the regions where it invests.

The EBRD’s current portfolio of projects in Egypt records €4.641 billion with a €6.926 billion cumulative investments over 120 projects since the start of its operation in the Egyptian market in 2012.

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