Egypt borrowed new $ 100 million from the European Bank for Reconstruction and Development, as part of the bank’s policy to facilitate trade to combat the effects of the emerging “Corona” virus on emerging economies.

The loan was allocated to Banque Misr, which it will use to provide short-term financing to small and medium enterprises and private companies, which face liquidity pressures due to the decrease in their activities and their returns due to COVID-19. Under the European Bank for Reconstruction and Development (EBRD) Trade Facilitation Program, the bank will increase the current trade finance limit by $ 100 million to meet the growing demand for import and export transactions. This financing package is part of the Coronavirus Solidarity Package of the European Bank for Reconstruction and Development, which was introduced to meet the immediate short-term financing needs of private companies through the European Bank’s current partner banks.

The European Bank expects to devote all its activities to combat the economic impact of the crisis. It is ready to provide 21 billion euros, during the period 2020-2021, to help the emerging economies in which it invests.

Banque Misr was established in 1920, and it is the second-largest bank in Egypt, with total assets of 54.1 billion euros in December 2019. Banque Misr had become a partner of the European Bank for Reconstruction and Development since 2017 when the first small business loan was signed and was followed by a trade finance facility in the year 2017-2018