Just as Egypt was just in shock over the tragedy of EGYPTAIR MS804 on Thursday , many Egyptians found out that Russia would lend Egypt USD 25 billion to build its nuclear station in Dabaa.
Yes , we are going to have another foreign loan according to what was announced in the Egyptian State's Official Gazette.
The Egyptian State's Official Gazette issued on Thursday "19 May 2016" included Presidential Decree "No.484" for the year 2016 to approve a loan from Russia to build and operate a nuclear power plant in Egypt.
According to the decree , Russia will lend Egypt USD 25 billion and in return Egypt will pay an interest rate of 3% annually starting from October 2029.
Egyptian will repay the loans over 22 years in 43 installments !!
I do not know what to say !!!
This is the biggest foreign loan in the modern history of Egypt.
Is it really worth it to add all those financial burdens on the future Egyptian generations to build an environmental threatening plant ??
Already , I do not understand how El-Sisi approved that loan without the discussion or approval of the House of the Representatives.
Article No.127 of the Current Egyptian Constitution already stipulates the following :
To be honest, I am not surprised if the Egyptian Parliament will approve such loan after all because its members voted overwhelmingly in favor of that defense loan agreement with France.
In March and for the first time in Egypt's modern History , the Egyptian ministry of defense signed an agreement with a number of French banks led by Credit Agricole in order to provide it with 33375.54 million euros to buy weapons from France.
By the way , the members of the parliament voted on that loan during the infamous Okasha-Israeli ambassador affair circus.
Needless to say , all the media attention was focused on Okasha and his circus.
Earlier in January during his visit to China , El-Sisi signed financing agreements by which China would lend Egypt over USD 800 million including loans so Chinese companies can construct the new administrative capital.
This is in addition to the loans from the World Bank and African organizations.
This is in addition to crazy and scary growing domestic debt !!
History does not repeat itself too often but we learned that once a great and true visionary man called Khedive Ismail borrowed from foreign countries to build mega-projects in Egypt and despite what he did , his economic policies ended up with disasters above them foreign dominance on the Suez canal and invasion.
If we are speaking about real priorities of Egypt , we do not need all those weapons or that nuclear plant or that administrative capital now.
If we are speaking about Egypt's National security then we should discuss those loans seriously.
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| Putin and Sisi "Ria" |
The Egyptian State's Official Gazette issued on Thursday "19 May 2016" included Presidential Decree "No.484" for the year 2016 to approve a loan from Russia to build and operate a nuclear power plant in Egypt.
According to the decree , Russia will lend Egypt USD 25 billion and in return Egypt will pay an interest rate of 3% annually starting from October 2029.
Egyptian will repay the loans over 22 years in 43 installments !!
I do not know what to say !!!
This is the biggest foreign loan in the modern history of Egypt.
Is it really worth it to add all those financial burdens on the future Egyptian generations to build an environmental threatening plant ??
Already , I do not understand how El-Sisi approved that loan without the discussion or approval of the House of the Representatives.
Article No.127 of the Current Egyptian Constitution already stipulates the following :
The executive authority may not contract a loan, obtain funding, or commit itself to a project that is not listed in the approved state budget entailing expenditure from the state treasury for a subsequent period, except with the approval of the House of Representatives.I do not think that the Egyptian parliament approved that deal if I am not mistaken.
To be honest, I am not surprised if the Egyptian Parliament will approve such loan after all because its members voted overwhelmingly in favor of that defense loan agreement with France.
In March and for the first time in Egypt's modern History , the Egyptian ministry of defense signed an agreement with a number of French banks led by Credit Agricole in order to provide it with 33375.54 million euros to buy weapons from France.
By the way , the members of the parliament voted on that loan during the infamous Okasha-Israeli ambassador affair circus.
Needless to say , all the media attention was focused on Okasha and his circus.
Earlier in January during his visit to China , El-Sisi signed financing agreements by which China would lend Egypt over USD 800 million including loans so Chinese companies can construct the new administrative capital.
This is in addition to the loans from the World Bank and African organizations.
This is in addition to crazy and scary growing domestic debt !!
History does not repeat itself too often but we learned that once a great and true visionary man called Khedive Ismail borrowed from foreign countries to build mega-projects in Egypt and despite what he did , his economic policies ended up with disasters above them foreign dominance on the Suez canal and invasion.
If we are speaking about real priorities of Egypt , we do not need all those weapons or that nuclear plant or that administrative capital now.
If we are speaking about Egypt's National security then we should discuss those loans seriously.