AFD Signs Four New Financing Agreements With Egypt Worth €300 Million

The French Development Agency (AFD) has signed four new financing agreements and letters of intent with the Egyptian government and development partners, with a total value of nearly €300 million, as part of efforts to strengthen human development and promote sustainable and inclusive economic growth.

The agreements were announced during the celebration of 20 years of partnership between Egypt and the French Development Agency, reinforcing cooperation between the two countries following the elevation of Egypt-France relations to a “strategic partnership” level.

The agreements were signed by AFD Chief Executive Officer Véronique Faber-Nelson in the presence of Egyptian ministers, the French ambassador to Cairo, and representatives of the European Union.

French Ambassador to Egypt Éric Chevallier said the new investments reflect the depth of the two-decade partnership between the countries, with cooperation focusing on youth development, social protection, food security, and green industries that create jobs.

The EU Ambassador to Egypt Angelina Eichhorst highlighted the joint efforts between the European Union and AFD to support sustainable development in Egypt across agriculture, healthcare, energy, urban development, and industry.

The new agreements include €150 million in financing to support the second phase of Egypt’s Universal Health Insurance System, allowing an additional 12 million citizens across five new governorates to access high-quality healthcare services.

The initiative also includes technical assistance worth €2 million, implemented by Expertise France, to strengthen institutions responsible for implementing healthcare reforms.

A separate program was also launched to improve primary healthcare services through a €30 million European grant, supporting Egypt’s efforts to expand universal health coverage.

In the education sector, AFD launched the second phase of a program to enhance French language teaching as a second foreign language in Egyptian public schools.

The program, funded with €2 million from the French government, aims to train around 8,000 teachers and develop modern educational resources through 2028.

The first phase benefited more than 1,000 schools and 4,000 teachers, according to the agency.

The partners also signed two letters of intent to establish technology schools specializing in railways and urban mobility, in cooperation with Egypt’s Ministries of Education and Transport and RATP Dev Cairo Mobility.

The project aims to improve vocational integration for young people and prepare skilled workers for future labor market needs.

Boosting Green Industry and Sustainable Agriculture

AFD, together with the European Investment Bank and the European Union, launched the Sustainable Green Industries Program with total financing of €210 million.

The program includes a €45 million from AFD, €135 million from the European Investment Bank, and €30 million from the European Union.

The initiative aims to finance investments by more than 30 medium and large Egyptian industrial companies through local banks, supporting low-carbon value chains, export competitiveness, and new job creation.

AFD also signed a €50 million non-sovereign credit line with National Bank of Egypt, alongside a €15 million European grant, to support sustainable agricultural financing.

The program will help small farmers, cooperatives, and small and medium-sized agricultural companies access financing for production, storage, and processing activities.

AFD CEO Véronique Faber-Nelson said the new projects provide practical solutions to improve the lives of Egyptian citizens, including expanding healthcare coverage, supporting vulnerable communities, developing agriculture, and strengthening green industries.

She added that Europe remains Egypt’s largest trading partner and that the agreements demonstrate a shared commitment to continued investment in sustainable development.

Over the past 20 years, AFD’s investments in Egypt have exceeded €4 billion, making it one of the country’s leading international development partners supporting economic and social progress.