France to sell Egypt 30 fighter jets

Egypt has signed a contract with France to buy 30 Rafale fighter jets, its defense ministry said in a statement early on Tuesday, in a deal that investigative website Disclose said on Monday was worth 3.75 billion euro ($4.5 billion).

Egypt’s defense ministry said the deal would be financed through a loan to be re-paid over at least 10 years, but did not disclose the value of the deal or further details.

Citing confidential documents, Disclose said an agreement had been concluded at the end of April and a deal could be sealed on Tuesday when an Egyptian delegation arrives in Paris.

This deal would be a further boost for the Dassault-made warplane after a 2.5 billion euro agreement was finalized in January for the sale of 18 Rafales to Greece.

The Egyptian accord also reportedly covers contracts for missile provider MBDA and equipment provider Safran Electronics & Defense which are worth another 200 million euros.

France’s finance, foreign and armed forces ministries were not immediately available for comment.

France was the main weapons supplier to Egypt between 2013-2017, including the sale of 24 warplanes with an option for 12 more. Those contracts dried up, including deals for more Rafale jets and warships that had been at an advanced stage.

Disclose said financing for the deal would be up to 85 percent guaranteed by the French state with BNP Paribas SA, Credit Agricole, Societe Generale and CIC, which funded the original deal, signing up again. The banks were not immediately available for comment.

Concerned by the political vacuum in Libya, instability across the region and the threat from jihadist groups in Egypt, both countries have cultivated closer economic and military ties since President Abdel Fattah El-Sisi’s rise to power.