Commercial International Bank Egypt (CIB) has signed a financing and partnership agreement to support Elsewedy Electric Power Systems Projects (PSP) in the development of a large combined-cycle power plant in Hungary, marking Elsewedy Electric’s first major expansion into Europe.
Under the agreement, CIB will provide financing of €58 million (around $62.9 million) to back Elsewedy Electric’s share of the project. The development is described as the largest combined-cycle power generation project undertaken in Hungary in several decades and signals CIB’s growing involvement in funding major international infrastructure schemes linked to sustainable energy.
The power plant will be delivered by a consortium comprising Elsewedy Electric, Status KPRIA Zrt., and West Hungária Bau Kft (WHB). The contract was awarded by MVM Mátra Energia Zrt., a subsidiary of Hungary’s state-owned energy group, MVM Group.
For Elsewedy Electric, the project represents a significant step in its global growth strategy. Once operational, the facility will become Hungary’s first hydrogen-ready power plant, with the capability to integrate up to 30% hydrogen into its fuel mix. This feature is intended to support cleaner electricity generation while contributing to European energy security.
The plant has been designed to generate between 500 and 650 megawatts of electricity. It is expected to begin commercial operations in 2028. Construction officially commenced following a foundation stone ceremony held in September 2025.
Total investment in the project is estimated at around €700 million (approximately $760 million). Within this overall financing structure, CIB is acting as the sole financier for Elsewedy Electric’s portion, extending credit facilities valued at nearly €58 million. The bank said the arrangement reflects its strong balance sheet and experience in structuring and funding large-scale cross-border infrastructure developments.
Amr El Ganainy, Deputy CEO and Executive Board Member of CIB, said: “Our support for this landmark project reflects our commitment to strengthening long-term partnerships with Elsewedy Electric, as well as CIB’s dedication to sustainable financing and responsible investment—particularly projects aligned with the global transition towards clean energy and emissions reduction. We do not simply finance projects; we contribute to building a more sustainable future and support our partners in delivering initiatives with long-term economic and environmental value.”
El Ganainy added that the deal highlights CIB’s focus on backing leading Egyptian companies as they expand internationally, supporting national competitiveness and reinforcing the bank’s role as a trusted partner in financing sustainable development projects both regionally and globally.
Elsewedy Electric President and CEO Ahmed Elsewedy described the project as a major milestone for the group. He said: “This project represents a major milestone in Elsewedy Electric’s global expansion and reflects the growing confidence in the ability of Egyptian companies to deliver large-scale energy projects in line with the highest international standards. Our participation in delivering the largest combined-cycle power plant in Hungary—designed to be hydrogen-ready—underscores our commitment to advanced, sustainable energy solutions that support energy security and accelerate the transition to a low-carbon economy.”
He added: “We are proud of our partnership with CIB, which played a pivotal role in structuring this financing. This demonstrates the strength of Egyptian financial institutions and their capacity to support the international growth of national champions. The collaboration offers a strong model of integration between industry and banking to drive long-term strategic investments with lasting economic and environmental impact.”
Elsewedy Electric said the project reflects its disciplined international expansion strategy, supported by advanced technology, strong partnerships and experience in delivering complex energy developments. For CIB, the transaction further extends its international presence and reinforces its position in sustainable finance and development.
