Egypt’s ECHEM Makes EGP 1 Billion Sukuk Issuance

The Egyptian Petrochemicals Holding Company (ECHEM) is planning to issue EGP 1 billion worth Sukuk, to source funding for on-going projects by its subsidiaries. Company sources stated that ECHEM is in the process of obtaining approvals for the issuance from the Financial Regulatory Authority (FRA) in Egypt and is also in negotiations with banks, yet unnamed, to manage the issuance.

2020 will see a host of Sukuk issuances in Egypt and this transaction would make ECHEM the first state-owned company to issue Sukuk.

The Head of the FRA’s insurance department, Sayed Abdelfadil, confirmed that four Egyptian companies are set to issue a combined EGP 5 billion in Sukuk on the Egyptian...