Egypt Raises $500 Million Through Sustainability Samurai Bonds

Egypt's Finance Minister Dr Ahmed Kouchouk said the transaction reflects growing confidence in the country's economic reform programme and highlights the importance of innovative financing tools.

Egypt has successfully raised JPY 80 billion (around US$500 million) through the issuance of sustainability samurai bonds, supported by a partial credit guarantee from the African Development Bank (AfDB). The deal marks another step in the country's efforts to diversify its external financing sources while securing long-term funding for sustainable development.

The bond issuance consists of two tranches, including a five-year AA+ rated bond and a 10-year AA rated bond, allowing Egypt to broaden the currency mix of its external debt and extend the maturity of its borrowing. The African Development Bank said its AAA credit rating helped the country access the Japanese capital market on more favourable terms despite continued uncertainty in global financial markets.

Funds to support climate, health and infrastructure projects

The proceeds will be invested under Egypt's Sovereign Sustainable Financing Framework, supporting projects in healthcare, education, renewable energy, energy efficiency, climate adaptation, water and wastewater management, digital infrastructure and inclusive economic development.

Egypt's Finance Minister Dr Ahmed Kouchouk said the transaction reflects growing confidence in the country's economic reform programme and highlights the importance of innovative financing tools. He said the partnership with the African Development Bank will help channel long-term resources into priority sectors that support Egypt Vision 2030 while strengthening the country's resilience against global economic challenges.

Sustainable finance strategy continues to expand

The transaction builds on Egypt's position as a leading issuer of sovereign sustainable financing instruments in Africa. The country previously became the first African nation to issue bonds in China's Panda Bond market and has developed a sustainable financing framework aligned with international standards for managing and reporting environmentally and socially focused investments.

Ahmed Attout, Director of the African Development Bank's Financial Sector Development Department, said the guarantee demonstrates how multilateral development banks can help countries attract private investment and access competitive long-term financing. He added that the operation supports Egypt's efforts to diversify its debt portfolio while promoting sustainable and inclusive economic growth across the country, in line with the African Development Bank's long-term strategy for strengthening capital markets across Africa.