Active Mixed AidData Chinese Aid

Africa Growing Together Fund provides $16 million loan for Commercial International Bank (CIB) for on-lending purposes (Linked to Umbrella Record ID#36104)

$16M USD

Funder	People's Bank of China (PBC)
Recipient Organization	Africa Growing Together Fund (AGTF)\|Commercial International Bank-Egypt S.A.E. (CIB)
Country	Egypt
Start Date	Nov 29, 2023
End Date	Jul 28, 2032
Duration	3,164 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`108212`

Grant Description

Africa Growing Together Fund provides $16 million loan for Commercial International Bank (CIB) for on-lending purposes On May 22, 2014, the African Development Bank (AfDB) and the People's Bank of China (PBOC) signed an agreement for the Africa Growing Together Fund (AGTF) (see Umbrella Record ID#36104).

The purpose of the $2 billion loan facility was to finance large development projects in Africa between 2014 and 2024. The AGTF is sponsored by the PBOC and the administered by AfDB.

Then, on November 29, 2023, AGTF signed an $16 million, 3.5-year loan agreement with the Commercial International Bank (CIB) for on-lending purposes. On the same day, the African Development Bank (AfDB) issued several additional loans to CIB for the same purpose.

The AGTF and AFDB loan proceeds were to be used by the borrower (i) to fund small- and medium-sized enterprises (SMEs) and corporates in strategic sectors including agriculture, agribusiness, manufacturing, services, ports, logistics, renewable energy and water desalination (ii) strengthening CIB’s capital base and (iii) funding trade including with the rest of Africa for the export of food, pharmaceuticals, electronics and consumer durable goods.

📋 Staff Comments

The AfDB project identification number is P-EG-HAB-014.
CIB was founded in 1975 as Chase National Bank, a joint venture between Chase Manhattan Bank and National Bank of Egypt (NBE), with ownership of 49% and 51%, respectively. In 1987, Chase divested its ownership stake as part of a shift in its international strategy with the stake acquired by NBE which renamed the former joint venture CIB. The bank began offering its shares to the public in 1995 and at the end of 2021 its major shareholders were Alpha Oryx Limited which holds 18.5% and Fairfax Financial Holdings Ltd with 6.5% with the remaining 75% as free floats. CIB is one of Egypt’s leading private sector banks leveraging a well-established network of 215 branches and banking units, a workforce comprising 7,689 employees and 1,307 ATMs spread all over the country (end of 2022). CIB provides banking services to retail clients, SMEs and corporates. CIB operates two representative offices (one in Dubai and the other in Addis Ababa) and has three strategic subsidiaries.

📚 Sources & References

Egypt - Commercial International Bank (CIB)
ENVIRONMENTAL ANDSOCIAL MANAGEMENT SYSTEM (ESMS) ASSESSMENT REPORT Loan applications and disbursements are still being received and processed as the projects continue to evolve. Ongoing monitoring and evaluation are in place to ensure project continuity.