EETC eyes EGP 68B LCs to import electrical equipment
Updated 12/16/2024 10:00:00 AM
Arab- Finance: The state-owned Egyptian Electricity Transmission Company (EETC) seeks to open letters of credit (LCs) worth EGP 68 billion ($1.3 billion), according to government officials who spoke to Asharq Business on condition of anonymity.
EETC, a subsidiary of the Egyptian Electricity Holding Company (EEHC), will use the documentary credits to finance the import of electrical equipment and transformers from abroad.
The company obtained the Central Bank’s approval to allow government lenders to arrange the loan’s value, which is directed to finance import operations for national projects, an official told Asharq Business.
Meanwhile, another official revealed that the National Bank of Egypt (NBE), Banque Misr, and Banque du Caire will arrange the full import credits for the company.
EETC plans to separate its business from EEHC and present the required documents to the government this month, a government official informed Asharq Business in November
In 2021, the Egyptian House of Representatives approved amendments to the Electricity Law that would postpone the separation of the EETC from EEHC until 2025 instead of 2021.
Established in 2001, EETC is the only entity in Egypt responsible for purchasing energy from government and private electricity production companies and selling it to government electricity distribution firms.
It also handles all electricity interconnection projects between Egypt and other countries.
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