QNB Al Ahli applies for up to $100M solidarity loan from EBRD

CAIRO – 4 May 2020: QNB Al Ahli (QNBAA) applied for a solidarity loan from the European Bank for Reconstruction and Development worth up to $100 million as part of the EBRD’s response to the COVID-19 pandemic, according to EBRD.

The loan that is scheduled for approval on May 6 is under the EBRD’s Resilience Framework ("RF"). “Proceeds of the proposed loan will be on-lent to local private Small and Medium Enterprises ("SMEs"), and to Corporates to cover financing needs that may arise as a result of the Covid-19 outbreak,” it clarified.

EBRD noted that the proceeds of the loan will help QNBAA in providing funding to local SMEs and Corporates experiencing either a decrease in their activity, turnover and/or profitability, in turn leading to delays in payments and potential defaults, or growing capacity needs due to a significant fluctuation in demand in particular sectors.

“COVID-19 crisis response allowing QNBAA to respond to liquidity needs for SMEs and corporates experiencing slowdown and payment delays, or increased capacity needs following a massive fluctuation in demand,” EBRD noted.

Qatar National Bank Alahly (QNBA) recorded consolidated profits of LE 1.86 billion during the first quarter of 2020, compared to LE 2.02 billion including minority rights, during the same period of 2019, marking a decrease of 7.5 percent.

QNB Alahli operates within the banking sector. It has subsidiaries operating across Egypt.