Egypt issued its first ‘Green Bond’ this week, with orders for the $750mn issuance nearly five times oversubscribed, at a yield of 5.25%. Money raised will go towards renewable energy, clean transportation and sustainable water management, Egypt’s finance ministry said on 30 September.
This is Egypt’s first foray into the bond market for the 2020-21 financial year which began in July. Cairo raised $7bn during the 2019-20 financial year, with the largest portion coming from a $5bn Eurobond issued in May (MEES, 22 May). 2019-20 spending had initially been estimated at around $5bn in total but Cairo’s finances came under pressure with the fallout from the coronavirus pandemic which saw it also borrow some $8.0bn from the IMF (MEES, 12 June). (CONTINUED - 177 WORDS)