The International Finance Corporation (IFC), a member of the World Bank Group, is extending up to $100 million as a debt investment in Middle East Glass Manufacturing Company (MEG), a manufacturer of glass containers from Egypt, according to an announcement.
Founded in 1983, Cairo-headquartered MEG targets both the local and overseas markets and currently exports to about 50 countries.
MEG will deploy the proceeds to boost its production capacity and expand its international footprint.
“The strategy of expanding the company aggressively across new geographies and into new product lines has firmly positioned MEG as a leader in the glass market in the Middle East and Africa,” said Tomasz Telma, IFC global director for manufacturing, agribusiness and services.
By partnering with IFC, MEG expects to experience from an improved capital expenditure programme and create new jobs as part of IFC’s support to the manufacturing sector of Egypt, said Dr Karim El Solh, chief executive officer of Gulf Capital, a main shareholder in MEG.
Solh said, the investment from IFC reflects an increased confidence in the broader Egyptian economy, which saw a 5.3 per cent growth in real GDP in 2018, an increase from 4.2 per cent in 2017.
In Egypt, IFC’s looks at investing in companies that have a strong export potential. During the 2018 financial year, IFC’s commitment in Egypt topped $1.2 billion.