IFC, a member of the World Bank Group, has announced to provide up to US$100mn to the Middle East Glass Manufacturing Company (MEG), aiming to support the firm’s capital expenditure programme and boost Egypt’s manufacturing sector
IFC’s debt financing package is expected to help MEG ramp up production of its containers, which are used by a variety of companies, from beverage makers to pharmaceutical firms.
As manufacturers are major sources of skilled jobs in Egypt and have important linkages with businesses, large and small, across the country, the move is set to help MEG expand its local as well as international footprint and create jobs.
As well as the financing package, IFC’s advisory services arm aims to help MEG substantially reduce its energy consumption and greenhouse gas emissions. This is part of an IFC push to bolster resource efficiency in the manufacturing sector and help companies compete internationally.
“Our strategy in Egypt focuses on investing in companies with strong export potential, which boosts the local economy and helps create jobs,” said Tomasz Telma, global director for manufacturing, agribusiness and services at IFC.
In the fiscal year 2018, IFC invested US$1.5bn in Egypt’s private sector to help create jobs, improve local infrastructure and boost economic growth. According to IFC, the investments focus on helping private sector companies grow, expand and create jobs in the region.
