The National Bank of Egypt (NBE) signed a EGP 435m long-term financing agreement with the Egyptian General Company for Tourism and Hotels (EGOTH) for the Mena House Hotel renovation.
NBE Vice President Yehia Aboul Fotouh said the financing contract comes in line with the Central Bank of Egypt’s initiative to finance the renovation of hotels and replacement of tourist buses.
It also reflects the bank’s ability to arrange this type of financing and to meet the financing needs of various sectors such as tourism.
Sherif Riad, head of the bank’s credit group for corporate and syndicated loans, explains that the NBE contributes 75% of the Mena House Hotel’s total renovation cost of EGP 580m, with a financing period of seven years.
He pointed out that the project aims to exploit the growing demand for tourism in Egypt, and also provides job opportunities besides the development of the hotel’s area, in addition to creating new investment opportunities.
Chairperson of Holding Company for Tourism and Hotels Mervat Hataba praised the NBE for supporting the tourism sector, expressing her interest to continue bilateral cooperation in future projects.
Moreover, Chairperson and Managing Director of EGOTH Sherif Bandari applauded the cooperation with the NBE, which reflects their mutual keenness in supporting tourism, especially with regard to preserving historic touristic buildings.
He pointed out that the project mainly aims to renew, develop, and raise the efficiency of the hotel according to the latest standards of modern hospitality, while preserving the building’s archaeological and architectural character, being one of the most important historical hotels in the country.
Mena House Palace was built more than 100 years ago. The royal palace was designed for Khedive Ismail to be used as a lounge when he went hunting in the desert. On the occasion of the Suez Canal’s opening in 1869, Khedive Ismail established a road to the Pyramids and developed the palace to host kings and princes during their visit to the Pyramids. Finally, it was converted to a hotel.