Ezz Steel, Egypt's largest steelmaker, has signed a long-term financing agreement with two banks worth EGP1.7 billion ($236 million) to help it restructure its debt.

The loan will be repaid in quarterly instalments over seven years starting in 2015, Ezz Steel said in a stock exchange statement on Monday.

The deal with National Bank of Egypt and Arab African International Bank is part of its plan to restructure the company's credit facilities by repaying some of its existing debt, it said.

Ezz Steel operates four plants in Egypt and controls more than half the country's steel market.

Like other heavy industries in Egypt, its profitability had suffered in recent years from weak exports and a chronic gas shortage as the government diverted supplies toward electricity production to ease regular blackouts.

In October, Egypt imposed temporary tariffs to protect domestic steel rebar manufacturers from cheap foreign imports during the energy crunch. – Reuters