Egypt to Unlock €100 Million in Second Tranche of German Debt Swap Deal

Egypt is moving forward with the second tranche of its debt swap agreement with Germany, valued at €100 million. According to Rania Al-Mashat, Minister of Planning, Economic Development, and International Cooperation, €50 million will be directed toward development projects by the end of 2025, with the remaining half set to follow by June 2026.

In her interview with Asharq Bloomberg, Al-Mashat revealed that the total value of German debts earmarked for conversion into development investments has now exceeded €340 million. She emphasized that all projects funded through the program are nationally owned and tailored to Egypt’s development priorities—particularly in critical areas such as healthcare, vocational education, and climate action.

Describing the relationship with Germany as a long-term strategic partnership, Al-Mashat noted that it extends well beyond development aid to encompass robust investment and trade cooperation. Today, approximately 1,400 German companies operate in Egypt, with bilateral trade between the two countries surpassing €7 billion—highlighting the depth and strength of economic ties.