Egypt and EIB Global set to deploy EU grant aimed at greening Egyptian economy

The European Investment Bank’s development arm (EIB Global) and Egypt have signed an agreement for the use of a €21 million grant to help green the Egyptian economy. The grant, funded by the European Union and managed by EIB Global, is intended to accelerate efforts by the Egyptian private and public sectors to decarbonise and promote environmental sustainability.

Most of the EU grant (€20 million) will be used to co-finance investments to reduce carbon emissions, boost recycling and support other pollution-reduction steps taken by Egyptian industry. The remaining €1 million will be for the digitalisation of the Egyptian Environmental Affairs Agency to enhance its environmental monitoring, enforcement and transparency.

H.E. Dr. Rania A. Al-Mashat, Egypt’s Minister of Planning, Economic Development and International Cooperation, said “This agreement marks a key milestone in our collective efforts to accelerate Egypt’s green transformation. Through strong international cooperation, particularly with EIB Global and the European Union, we are mobilizing blended finance to catalyze sustainable industrial practices, promote circular economy models, and advance our decarbonization agenda. The grant not only complements Egypt’s national climate goals, but also strengthens public-private collaboration to unlock green growth and inclusive development.”

The signature took place at an event attended by Minister Al Mashat, EIB Vice-President Gelsomina Vigliotti, Stefano Sannino, director general of the European Commission’s Directorate-General for the Middle East, North Africa and the Gulf, and Egyptian Minister of Environment Yasmine Fouad. Also present were Samar Al-Ahdal, supervisor of the European Cooperation Sector of MOPEDIC, and Yehia Aboul Fotouh, deputy chief executive officer of the National Bank of Egypt.