CAIRO (Reuters) - Egypt is set to secure a $430 million loan from Japan to fund a 220-megawatt wind farm as it tries to boost its renewable energy output, the state news agency MENA said on Friday.
Egypt, an oil and gas producer, has been developing wind power along its eastern Red Sea coast. It aims to generate 12 percent of its power from wind and 20 percent from renewables overall by 2020.
The loan, inked this week, will be used to build a wind farm in Gebel el Zeit on the Gulf of Suez, the report said.
Officials say Egypt’s combined oil and gas reserves will last it roughly three decades, pushing it to develop alternative energy sources, including nuclear and solar.
Last week Egypt said it would receive a $100 million loan from the Kuwait Fund for Arab Economic Development to fund a 1,300 megawatt power plant in the Red Sea coastal town of Ain Sokhna, east of Cairo.