Egyptian solar energy company, KarmSolar has concluded a cooperation agreement with Plus Leasing to provide financing for private sector companies involved in the 1.5m feddan desert reclamation project, inaugurated in December, to support the use of renewable energy, Daily News Egypt reports.

Under the agreement, Plus Leasing will set aside EGP30m to offer financing to KarmSolar clients who will convert their well pumps and irrigation methods from using fossil fuel to solar energy. Chairman of Plus Leasing, Amr Lamey said that those receiving solar loans would pay 25% in a down payment and the rest in installments over five to seven years.

KarmSolar provides solar energy to a number of farms, companies, and resorts across Egypt. Plus Leasing, a wing of the Tharwa Capital Group, offers financing to a variety of private companies and individuals in the Egyptian market. Financing has been a key challenge for companies over the recent year, as Egypt’s foreign currency struggles have placed limits on dollar loans and payments.