● “Coordinating with international partners is critical to aligning future priorities with the state’s investment plans,” stated H.E. Dr. Rania A. Al-Mashat.
● The integration of the Ministries of Planning and International Cooperation creates a synergy between public investments and concessional development financing
● European Union grants and concessional financing have been instrumental in lowering the cost of renewable energy financing for the private sector.
H.E. Dr. Rania A. Al-Mashat, Egypt’s Minister of Planning, Economic Development, and International Cooperation, has initiated a series of high-level meetings with development partners to discuss mutual investment portfolios and future priorities. This effort follows the recent integration of the Ministry of Planning with the Ministry of International Cooperation. The objective is to implement the strategic priorities of the government’s 2024/25-2026/27 program, focusing on enhancing economic and social development, improving governance of public investment, and expanding opportunities for private sector participation.
The Minister commenced these efforts with a comprehensive meeting with Ambassador Christian Berger, Head of the European Union (EU) Delegation to Egypt, along with officials from the delegation and the ministry’s team. Discussions covered strategic cooperation priorities based on the longstanding partnership between Egypt and the European Union. The meeting also addressed ongoing projects within the EU portfolio, future programs concerning grants and investment guarantees, and mechanisms for strengthening macroeconomic stability.
Close Cooperation between Egypt & the European Union
During the meeting, Al-Mashat stressed the close cooperation with the European Union as one of the main development partners, highlighting our long-standing economic partnership. H.E. explained that the current stage is witnessing an exceptional development in the relationship with the European Union, especially given that the current period is also witnessing coordination with international partners to arrange future priorities to meet the requirements of the state's investment plan.
The Ministry will continue to strengthen relationships with multilateral and bilateral development partners, supporting Egypt’s national development vision. This will enhance the efficiency of ongoing projects and improve macroeconomic stability by leveraging various tools to pursue economic reforms. A priority focus will be investments in human capital and industrial development.
Economic & Social Development Plan
Al-Mashat stressed the role played by the European Union and other development partners in supporting the state's efforts within the framework of the economic and social development plan, by providing grants, soft financing and technical support for many projects being implemented in various governorates. This covers many sectors including: housing and utilities, energy, environment, local development, supply, health, capacity development, and other areas.
Via the electronic system for managing data and following up on projects, the discussions also covered progress on the current EU cooperation portfolio, which includes projects aligned with Sustainable Development Goals (SDGs). Key areas include SDG 6 (Clean Water and Sanitation) which features 32.6% of the projects, SDG 1 (No Poverty) that features 25.8% of the projects, SDG 7 (Affordable and Clean Energy) dedicated to 18.3% of the projects , and SDG 8 (Decent Work and Economic Growth) with 16.2% projects..
Governance of Public Spending & Encouraging Private Sector Participation
In a separate context, H.E. Al-Mashat highlighted the ministry’s efforts to govern public investment spending under the directives of the Prime Minister. This involves reprioritizing investments in collaboration with local governments and relevant authorities to enhance private sector participation in economic activities and attract domestic and foreign investments.
Al-Mashat noted that the Ministry of Planning, Economic Development and International Cooperation is working to strengthen joint relations with multilateral and bilateral development partners to support the state's development vision, and achieve integration and coordination between these partnerships and the state's investment plan, which makes the work mechanism more efficient and effective, thus enhancing the stability of the overall economy.
Additionally, discussions focused on ongoing efforts to complete the first phase of the Macro-Financial Assistance (MFA) program, which aims to support budget deficit reduction, alongside structural reforms designed to promote greater private sector involvement in Egypt’s development.
The Ministry’s partnership with the European Union plays a pivotal role in reducing the cost of financing for private-sector renewable energy projects, achieved through a blend of grants and concessional funding.