H.E. Dr. Rania A. Al-Mashat, Minister of Planning, Economic Development and International Cooperation and Governor of Egypt at the World Bank, continued her participation in the events of the World Bank Group Annual Meetings in Washington. These meetings are being held at a vital time when the world is witnessing successive crises, as the international community discusses addressing emerging challenges in climate action, debt challenges, and the structuring of the global financial system.
Priorities of the Bretton Woods Institutions in the Next Decade
The Minister of Planning, Economic Development and International Cooperation participated in the conference organized by the Center for Global Development (CGD) on the priorities of the Bretton Woods institutions in the next decade, celebrating their 80th anniversary. This included the participation of Carlos Cuerpo, Minister of Economy, Trade and Business of Spain; Nirmala Sitharaman, Minister of Finance and Corporate Affairs of India; Lawrence Summers, Chairman of the Center for Global Development (CGD). The session was moderated by Masood Ahmed, President Emeritus of the CGD and former Director of the Middle East Department at the International Monetary Fund (IMF).
The conference discussed the priorities of the Bretton Woods institutions, which were established 80 years ago, and how current conditions imprequire urgent changes, most notably climate change, economic and geopolitical tensions.
In H.E. speech, the Minister emphasized that “country ownership” is a key factor when talking about development efforts in developing and emerging countries. With clear national development plans and bankable projects, countries can achieve the desired cooperation between multilateral development banks, the private sector, and civil society, to achieve integration with government efforts and advance development efforts.
Al-Mashat highlighted Egypt’s efforts through the country platform of the “NWFE” program, which is based on “country ownership” and is an innovative model for platforms that stimulate climate investments, through coordination and integration between the government. The platform identifies priority projects that attract investments, and development partners and the private sector, working on intensive coordination to mobilize technical support, concessional funding, and innovative financing tools to implement selected projects.
H.E. noted that each country has its own priorities and different context, which must be recognized by international institutions and multilateral development banks in order to meet those priorities, pointing to the importance of coordination between international institutions and organizations.
From Idea to Implementation: Financial Solutions to Accelerate Development
H.E. Dr. Rania A. Al-Mashat also participated in a high-level event titled “From Idea to Implementation: Financial Solutions to Accelerate Development”, where the Minister addressed the necessity of restructuring the global financial system, in the light of multiple crises and geopolitical tensions, given their impact on the state’s financial stability. H.E. explained that the main aspects of restructuring the global financial system are represented in financial institutions reform, debt management, inclusiveness and justice, achieving sustainable development goals, and preparing for and responding to crises.
The Minister further underlined the efforts of the government in this regard, as the country has taken steps towards using innovative financing mechanisms to support growth, while at the same time working to mitigate global challenges. This was done in cooperation with bilateral and multilateral development partners in Egypt, benefiting from technical and financial resources, and deploying innovative financial solutions to accelerate sustainable development in Egypt, which reflects the Egyptian government’s commitment to adopting new financing models to enhance partnerships with the private sector.
The Minister also affirmed the importance of structural reforms in driving investment and enhancing innovative financing tools, noting that the government implemented structural reforms in 2014, which contributed to increasing investments in the field of renewable energy, and prompted more development partners to expand the scope of guarantees and innovative financing tools to implement projects.
Al-Mashat referred to debt swap programs as one of the innovative financing tools that aim to swap Egypt's debts with different bilateral partners to implement a number of development projects. H.E. explained that over the past 20 years, the Egyptian government has succeeded in implementing a debt swap program with the Italian and German governments, with a value exceeding $720 million, to implement approximately 120 projects in various development fields. In addition, a memorandum of understanding was signed between the Egyptian government and the China International Development Cooperation Agency (CIDCA).
The Agrifood System: An Engine for Sustainable Growth & Job Creation
H.E. Dr. Rania A. Al-Mashat also participated in a panel discussion entitled “The Agri-Food System: An Engine for Sustainable Growth and Job Creation,” with the participation of Ajay Banga, President of the World Bank; Ndidi Nwuneli, President of ONE Campaign; Francisco Laurel, Secretary of Agriculture of the Philippines; Anne Beathe, Minister of International Development of Norway; Mabouba Diagne, Minister of Agriculture of Senegal; and other officials from governments and international institutions.
Al-Mashat also emphasized that the agri-food sector is more than just a source of food; it is a major driver of economic transformation. By investing in agriculture, we can stimulate significant economic growth, create real job opportunities, and enhance the standard of living in our communities.
Al-Mashat pointed out that the Climate-Resilient Agric-Food Transformation Project (CRAFT) project is one of the projects included in the food pillar of the country platform of the “NWFE” program, which aims to create an appropriate climate to increase investments in the agricultural sector and encourage investors and the private sector to make investments into those sectors and activities. H.E. also highlighted the Climate-Resilient On-Farm Water Management in the Nile Valley (CROWN) Project, which includes two components: the first is related to the climate change resilience through upgrading the irrigation and drainage infrastructure and promoting climate-smart agriculture, and the second is integrating smallholders into profitable food value chains that are resilient to climate change.
Moreover, the Minster also addressed the challenges facing agri-food systems in Egypt, such as climate change, loss of biodiversity, water shortages, and high production costs, noting that these challenges can be overcome through full coordination between the government, the private sector, and civil society.
Sovereign Debt
In the same context, the Minister participated in the roundtable on sovereign debt legislation held by the World Bank Research Department, Initiative for Policy Dialogue, and the Institute of Global Politics at Columbia University, with the participation of Indermit Gill, Chief Economist of the World Bank Group and Senior Vice President for Development Economics; Martin Guzman, former Minister of Economy of Argentina and Professor at the School of International and Public Affairs at Columbia University; and Nobel Prize-winning economist Joseph Stiglitz. The session discussed the challenges of global debt, a more complex problem than ever before, and they looked into expanding sustainable debt management mechanisms.