Al-Mashat: “ Egypt Has Secured $7.3B Development Financing for Private Sector"

The Minister of International Cooperation Rania A. Al-Mashat revealed that Egypt has secured development financing agreements with the aim of advancing the national development vision, noting that the private sector has benefited during the past three years from these funds.

This includes development financing exceeding $7.3 billion from multilateral and bilateral development partners, whether in the form of lines of credit to finance small and medium enterprises (SMEs) and startups, soft development financing for companies, or direct investments in priority state sectors.

In her address at the CI Capital’s 7th Annual MENA Investor Conference, Al-Mashat emphasized that the Ministry of International Cooperation established a framework for international cooperation and development financing, which ensures the alignment of national strategies with development partners with the country's priorities and objectives.

"Through 2022, and continuing into 2023, the ministry continued to prepare country strategies with multilateral and bilateral development partners, which incorporate room for private sector engagement in development efforts."

The Minister also talked about the efforts exerted to create constructive partnerships through blended financing between development partners, the private sector and national entities to expand development projects and climate action, coinciding with Egypt's presidency of the COP27, and for the implementation of the 2050 National Country Climate Strategy (NCCS) and Nationally Determined Contributions (NDCs).

Al-Mashat added that the COP27 witnessed the signing of grants and agreements with the European Bank for Reconstruction and Development (EBRD), as well as new partnerships, including with Climate Investment Funds (CIF), in order to support efforts to expand green hydrogen, enhancing Egypt's position as a regional energy hub.

Moreover, she added that in light of the importance of climate action and development, and the absolute necessity for the participation of the private sector as a major actor in the green transition, the Ministry of International Cooperation launched the Country Platform for the Nexus of Water, Food and Energy (NWFE) Program, which includes 9 priority projects that fall within the NCCS 2050 umbrella.

The minister also pointed out that each pillar has a key lead development partner responsible for coordinating and mobilizing private sector investments, blended financing and various financing mechanisms.

In the same connection, Al-Mashat noted the efforts to map the development financing portfolio, which amounts to about $26 billion, with the UN SDGs, in a way that enhances the ability to track progress on each goal, supporting both increased international partnerships and efficient decision-making on future projects.