Egypt plans more Green bonds a year after $750 mln sale

CAIRO, Sept 7 (Reuters) - Egypt intends to increase the number and frequency of its Green bond issuances following the success of a $750 million sale a year ago, Deputy Finance Minister Ahmed Kouchouk said on Tuesday.

Egypt’s government became the first in the Middle East and North Africa to sell such bonds when it issued $750 million in five-year Green bonds in September 2020. The deal offered investors a 5.25% yield.

“In principle, one of our top priorities is to continue going in that direction in issuing more Green bonds,” Kouchouk told a GlobalCapital conference on sustainable finance.

“Not only as a sovereign, by the way. One of the key objectives for us in going in this market was to create a benchmark for the private sector.”

Proceeds from the 2020 sale were earmarked for financing or refinancing green projects in sectors such as transportation, renewable energy and energy efficiency.

“We’re very pleased and very happy to see now banks coming, financial institutions and private companies and corporates trying to tap this market from Egypt,” Kouchouk said. (Reporting by Patrick Werr; Editing by Lisa Shumaker)