The African Export-Import Bank (AFREXIMBANK) has granted a $75m loan to Egyptian Ethylene and Derivatives Company (ETHYDCO), in an effort to support Egypt’s petrochemical industry and increase exports though supplementing the natural gas sector, Al Ahram reported.

The loan will be allocated to production enhancements of ethylene by funding green-initiatives with Egyptian Petrochemicals Holding Company (ECHEM), Sidi Kerir Petrochemicals (Sidpec), and the National Company for Natural Gas(NATGAS). The fund will be directed to the development of an ethylene and polyethylene facility, as well as a natural gas plant. The projects will enhance the production of ethylene and its derivatives, that are used in constructions and plastic manufacturing.

This loan comes amid the country’s strategic drive to diversify value added activities to natural gas via petrochemicals, with the aim of exporting the finished products to Europe, North America, and Africa.