Egypt secures largest EBRD investment with €1.5 bln for 7th consecutive year
The Ministry of Planning, Economic Development, and International Cooperation stated on Monday that Egypt ranked third globally among EBRD member countries, underscoring the critical role of economic diplomacy in driving development financing.
The private sector procured 98 percent of these investments, with 50 percent going to green financing.
The investments were distributed as follows: 40 percent for trade finance, 26 percent for infrastructure, 20 percent for the financial sector, and 13 percent for corporate finance.
Minister of Planning, Economic Development, and International Cooperation Rania Al-Mashat highlighted Egypt's strong partnership with the EBRD, with a cooperation portfolio worth around 13.8 billion euros for 194 development projects since 2012 when Egypt became an operational country for the EBRD.
Almost 80 percent of the financing has been directed to the private sector, significantly supporting the Egyptian economy and encouraging the private sector ecosystem.
Since 2020, Al-Mashat has worked to strengthen economic ties with multilateral and bilateral development partners.
Al-Mashat participated in the EBRD’s annual meetings last year, where Egypt had the honour of hosting the bank’s 2027 annual meetings in Sharm El-Sheikh following the approval of the Board of Governors.
This decision underscores Egypt's strategic importance within the bank, mainly due to its status as one of the founding members and one of the largest operational countries globally.
EBRD's green energy initiatives
The EBRD is crucial in Egypt's green transition, particularly in financing renewable energy projects. This will help the country achieve its goal of generating 42 percent of its energy from renewable sources by 2030.
Key projects include Aswan’s Benban solar power plant, one of the largest solar facilities globally, which the EBRD, in partnership with other institutions, supports.
Since the launch of the NWFE programme in 2022, the EBRD has become a vital development partner in Egypt’s energy sector, mobilizing approximately $3.9 billion in concessional financing for private sector companies to implement renewable energy projects with a total capacity of 4,200 MW.
The programme aims to establish renewable energy plants with a combined capacity of 10 GW, shut down 12 thermal power plants with a total capacity of 5 GW, and save $1.2 billion annually in fuel imports.
Additionally, the EBRD is implementing the "Green Cities" programme in Egypt, an international initiative in which Egypt participates through the cities of Alexandria, Cairo, and 6th of October by executing environmentally sustainable projects.
The European Union pledged a 7.4 billion euro ($8.1 billion) aid and investment package for Egypt in March 2024.
Egypt received the first tranche of this financing package, amounting to 1 billion euros, in December 2024.