CIB lends $80m to Eroglu Knitting for export-only $140m garment complex in Qantara West

Commercial International Bank (CIB), Egypt's largest private-sector bank, has extended $80 million in financing to Eroglu Knitting to fund the expansion of its textile and garment operations in the Qantara West industrial zone, part of the Suez Canal Economic Zone, Daily News Egypt reported on 26 September.

The package combines a $75 million medium-term loan with a $5 million working-capital facility, over a seven-year tenor.

A 24-million-garment export base

The project represents a total investment of $140 million on a site of about 150,000 square metres. Once running, it is designed to produce 24 million ready-made garments a year, together with yarn and dyed fabrics, and to create more than 4,500 jobs. Expected annual revenue is $165 million.

Output is fully export-oriented: 50% is destined for Europe, 30% for the United States and 20% for other markets, according to the report.

Amr El-Ganainy, Deputy CEO of CIB, said the bank remains committed to long-term partnerships "that strengthen Egypt's position as a regional manufacturing hub." Nurettin Eroğlu, chairman of Eroğlu Global Holding, described CIB as a strategic partner in the group's growth.

What it means for Egyptian exporters

Large vertical projects that combine yarn, fabric dyeing and garment making in one place are what buyers mean when they ask for shorter, more controllable supply chains. Local bank financing on a seven-year tenor also signals that Egyptian lenders see export garment manufacturing as bankable, which matters for mid-sized Egyptian factories planning their own upgrades. With half the output aimed at Europe, the project adds to the capacity Egypt can offer EU brands looking for nearshore suppliers, and to the pool of skilled labour that local manufacturers will compete for in the canal zone.