EU Parliament Approves €4.5 Billion in Financial Aid for Egypt and Jordan

The European Parliament has approved two major financial assistance packages totaling €4.5 billion for Egypt and Jordan, reinforcing the EU’s support for regional stability and economic resilience in the Middle East.

On Tuesday, Members of the European Parliament (MEPs) overwhelmingly backed the €4 billion macro-financial assistance (MFA) package for Egypt, with 452 votes in favor, 182 against, and 40 abstentions. The Parliament also approved a €500 million aid package for Jordan, with 571 votes in favor, 59 against, and 46 abstentions.

The financial support, provided in the form of low-interest loans, aims to help both countries meet urgent economic needs, advance structural reforms, and maintain political and fiscal stability amid growing geopolitical and financial pressures in the region.

The EU’s assistance to Egypt comes at a critical time, as the country grapples with high inflation, foreign currency shortages, and mounting debt. The new package is part of a broader €5 billion MFA initiative, proposed by the European Commission on March 15, 2024. A €1 billion short-term loan was already disbursed at the end of 2024, while the remaining €4 billion will be distributed in three instalments, subject to reforms and conditions agreed upon by both parties.

Egypt, seen as a key stabilizing actor in an increasingly volatile region, is expected to receive this support in parallel with its ongoing cooperation with the International Monetary Fund (IMF) and its reform commitments.

Jordan’s €500 million loan marks the fourth macro-financial assistance package from the EU since 2013. The aid is designed to support Jordan’s fiscal consolidation, advance economic reforms, and help the country manage residual financing gaps.

A new financial package for Jordan was announced in January 2025, reflecting growing EU recognition of Amman’s strategic role in maintaining regional stability and its continued efforts toward governance and reform.

The disbursement of the aid is contingent on Jordan’s adherence to democratic standards, including multi-party parliamentary governance, respect for the rule of law, and guarantees of human rights.

Speaking after the vote, Rapporteur Celine Imart (EPP, France), emphasized the importance of supporting trusted partners in the region.

“This vote underlines Parliament's support for our partners. The money for Jordan can be delivered quickly, and Parliament will enter into negotiations with member states on the proposal for Egypt with a strong mandate to make a swift agreement. Helping our partners means promoting European interests in an unstable region,” Imart said.

The MFA package for Jordan now awaits formal approval by the Council before entering into force.

For Egypt, inter-institutional negotiations between the European Parliament and the Council are expected to begin shortly, paving the way for agreement on the disbursement schedule and reform benchmarks.

The EU’s macro-financial assistance program is part of a wider strategy to support partner countries facing severe economic, financial, and institutional challenges. These aid packages are typically linked to IMF programs and require clear commitments to economic reform and good governance.

As the EU continues to bolster its strategic engagement with the Middle East and North Africa, Tuesday’s vote signals a clear commitment to using financial tools to promote stability, resilience, and democratic values in its extended neighborhood.