EBRD Investment In Ibnsina Pharma Supports Green Transition, Competitiveness, And Expansion Across 12 Warehouses In Egypt’s Growing Pharma Market

The European Bank for Reconstruction and Development (EBRD) is providing investment to support the development of a new warehouse for Ibnsina Pharma. The project is designed to achieve at least the EDGE “Standard” for environmental performance, demonstrating a strong commitment to sustainability. As part of the investment, the EBRD will also offer technical advisory support, including conducting an energy audit, identifying areas for improvement in the design, and recommending measures to enhance the building’s energy and resource efficiency.

When completed, the warehouse is expected to reduce annual carbon dioxide emissions by 207 tonnes and save 16,905 cubic meters of water each year, contributing to more sustainable operations. Egypt is the second-largest pharmaceutical market in the Middle East and North Africa and is supported by a robust domestic manufacturing sector. The country’s large and growing population, projected to reach 120 million by 2030, is a major driver of demand in the pharmaceutical industry.

In addition to its environmental benefits, the EBRD’s investment will strengthen Ibnsina Pharma’s operational capacity and competitiveness. The new warehouse is part of a broader expansion and network optimisation plan that includes up to 12 additional warehouses. This expansion is intended to improve the company’s efficiency, accommodate growing sales volumes, and diversify its revenue streams.

Greg Guyett, the First Vice President of the EBRD, said that the Bank is pleased to support a key sector with significant potential for sustainable long-term growth. He noted that the investment would contribute to Egypt’s green transition while enhancing the company’s competitiveness and establishing it as an important player in a strategic industry.

Mohsen Mahgoub, Managing Director and Vice Chairman of Ibnsina Pharma, described the agreement as a pivotal moment for the company. He explained that the partnership with the EBRD goes beyond financing, providing strategic support to elevate operations to international standards. According to Mahgoub, the EBRD’s rigorous due diligence validates the company’s governance, transparency, and operational practices, signaling to investors and partners that Ibnsina Pharma is a reliable and capable organisation ready to implement its green infrastructure and sustainability goals.

Ibnsina Pharma has had a long-standing relationship with the EBRD. The Bank first invested in the company in 2015, acquiring a 20 percent stake to support the expansion of warehouses, distribution centres, and supply chain operations. Over the last decade, Ibnsina Pharma has grown to become Egypt’s leading publicly listed pharmaceutical distributor and has diversified into non-pharmaceutical operations. Earlier this year, the EBRD fully exited its investment, marking the successful conclusion of this chapter in their partnership. Egypt is a founding member of the EBRD, and since the Bank began operations in the country in 2012, it has invested over €14.2 billion across 219 projects in various sectors of the economy.