As per your article:-
The Saudi funds comprise a $2 billion central bank deposit, $2 billion in energy products, and $1 billion in cash, the Saudi Finance Minister Ibrahim Alassaf told Reuters.
The United Arab Emirates will make a $1 billion grant to Egypt and a $2 billion loan, state news agency WAM said on Tuesday. The $2 billion loan would take the form of an interest-free deposit with Egypt's central bank, WAM said
Egypt Seeks Bank Loans for French Arms Buy
Egypt is seeking a bank loan to partially finance a prospective order for the Rafale fighter jet, a multimission frigate and missiles, an unusual financing deal likely to require high-level political support, two analysts said.
A deal with Egypt would enable a speedy export order seen as needed to relieve severe budgetary pressure on France, which is in a pressing search for foreign clients for Dassault and DCNS.
Egyptian officials have been in "discussions with banks" to find commercial lending that would allow paying France a 15 percent down payment for the military equipment, a market analyst said.
The talks have been held with French banks as Cairo seeks to raise the down payment required, a second analyst said. That client down payment is one of the golden rules, answering the call to "show me the money," the analyst said.
Bank lending for arms purchases is not new, but the Egyptian search for funds is remarkable for the size and the speed in which the loan is sought.
Egypt wants to close the deal in time for a frigate and three Rafales to be present when a new stretch of waterway by the Suez Canal is opened in August, newsletter TTU has reported.
Coface, the French export credit guarantee department, has asked the commercial lenders to carry part of the funding on their own books rather than rely on the global credit insurer to provide insurance for the full amount, the first analyst said.
Coface would sign up on an Egyptian contract if the Treasury Department, which reports to the Economy Ministry, agreed to the deal. But there is reluctance in the Economy Ministry as Egypt is seen as a fragile economy, the first analyst said.
If Egypt fell behind on payment, the insurance from Coface would repay from the public purse the makers of the Rafale, frigate and missiles, which are Dassault Aviation, DCNS and MBDA, respectively.
A DCNS executive confirmed talks were being held with Egypt. Dassault, MBDA, Treasury and the Egyptian embassy declined comment.
