EU Companies Sign Deals worth more than $42 Billion in Egypt

European Commission President Ursula von der Leyen said on Saturday that European companies will sign investment deals potentially worth more than €40 billion  ($42.85 billion) with Egypt.

Von der Leyen's announcement at an investment conference that began on Saturday of more than 20 agreements or memoranda of understanding with Egypt follows a €7.4 billion EU funding package and an agreement in March to upgrade ties with Cairo in a bid to make its economy more stable and reduce migrant flows to Europe.

European officials say they want to help Egypt, which has suffered  shocks including the fallout from the war in Ukraine and the COVID-19 pandemic, become stronger by boosting investment and the private sector, according to Reuters.

"Your stability and prosperity are essential for the entire region," von der Leyen said in a speech at the opening of a two-day Egypt-EU investment conference in Cairo.

Von der Leyen added that companies looking to invest are in sectors including hydrogen, water management construction, chemicals, shipping and aviation.

The Egyptian cabinet said in a statement on Saturday that Cairo had signed four financing agreements with EU grants worth €299 million ($320.32 million) in several areas including employment and private sector development.

Egyptian President Abdel Fattah el-Sisi said the partnership between Egypt and the EU spans trade, energy and infrastructure.

"Our conference today will provide European countries and economic entities with the opportunity to learn about the investment potential available in Egypt," el-Sisi added.

Egypt has received huge foreign funding and pledges this year from the United Arab Emirates, the International Monetary Fund and the World Bank, as well as the European Union.

The funding eased a long-running foreign exchange crisis at a time when Egypt is grappling with the impact of war in neighboring Gaza and in Sudan on its southern border.

Sisi said the conference came at a "very delicate time" amid a series of international and regional crises that he said required coordination between Europe and Egypt.