Egypt may rise after World Bank’s $1 bln loan promise
The World Bank headquarters - AP/Lawrence Jackson

DUBAI : Egypt’s shares may take support on Thursday after The World Bank said it expects to make a $1 billion development policy loan available to the country next month, while a positive global backdrop could also boost regional sentiment.

The World Bank’s loan could be the first of three as part of the three-year programme with Egypt, the bank said.

Cairo’s benchmark index on Wednesday gained 0.1 percent, up from a near two-year low as foreign bargain hunters took the opportunity to increase Egypt exposure as others sold in panic due to security woes.

Russian and Egyptian Presidents on Wednesday agreed on measures to improve airline security after a Russian airliner crash on Oct. 25 killed all 224 people aboard from an explosion Russia says was a bomb.

Shares in Saudi Arabian Mining Co (Ma’aden) may see buying interest after local, regional and international banks committed to giving a 11.5 billion riyal ($3.07 billion) loan to its phosphate business.

This replaces an existing debt on more favourable terms.

Kuwait’s Agility could also attract buyers after its chief executive said the company plans to raise $1 billion in debt to fund future growth across its business.

Meanwhile, a positive global backdrop may lift sentiment in the Gulf, oil-driven markets.

Brent Crude is up 35 cents to 44.49 dollars per barrel at 0441 GMT, but struggle to break away from the $40 mark as oversupply and high inventory levels ensure an ongoing glut.

Asian shares are also higher on Thursday.

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