Egypt's central bank agrees to extend term of its repo financing facility with syndicate of int'l banks

CAIRO – 17 November 2020: The Central Bank of Egypt announced that it has agreed to a 1.5-year extension of the original 4.5-year repurchase transaction originally entered into on October 10th, 2018 with a consortium of international banks.

As the result, the overall maturity of the transaction will be of 6 years.

“The transaction has been unanimously supported by the current consortium of banks,” CBE clarified.

CBE noted that this decision came as it has been approached by a number of syndicate members, proposing to extend the term of a repurchase transaction originally entered into on October 10th, 2018 with a consortium of international banks. 

The decision came after a careful consideration of the proposal, which is consistent with the CBE’s objective of enhancing its liability management by extending the duration of its debt structure, according to the statement.

It added that the transaction reflects the continued strong affirmation and vote of confidence by the international market in the continued success of the homegrown economic reform program during the past years, despite the challenges of the COVID19 pandemic and increasing risk factors in the global environment.