Egypt will sign three loan agreements with Japan and one with South Korea worth a total of USD575 million to finance projects in the energy and transportation sectors, according to an official source familiar with the matter. The signing of the financing comes as part of Egyptian President Abdel-Fattah El-Sisi’s third tour to Asia, which started last Friday. The loans will be at interest rates of less than 1%, to be repaid over a period of 50 years, including a 10-year grace period. Japan's lending package includes a USD155 million loan to expand Egypt's Borg Al-Arab airport, located about 50km southwest of Alexandria, said an official from Egypt’s International Cooperation Ministry. The package will also include USD305 million to boost the capacity of three state-owned electricity distribution companies and for the construction of a 20-MW photovoltaic station in the coastal city of Hurghada on the Red Sea. Sources added that Egypt will also negotiate with Japan preliminary financial pledges of USD482 million for the ongoing construction of the Grand Egyptian Museum in Giza and USD335 million for power generation projects. The South Korean loan to Egypt will be the first one, worth USD115 million to finance an upgrade of the railway signaling system between the Qena and Luxor governorates in Upper Egypt. (Ahram)