● The framework for development cooperation represents an umbrella that encompasses all strategies with development partners to stimulate development efforts, climate action and expand private sector support mechanisms.
● Developing an integrated framework for development cooperation that is consistent with the changes that the world is going through.
The Minister of International Cooperation H.E. Dr. Rania A.Al-Mashat announced that in light of the Government of Egypt’s vision to strengthen economic relations with multilateral and bilateral development partners at the regional and international levels and to mobilize efforts to achieve economic development in all sectors, the Ministry of International Cooperation is developing an integrated framework for development cooperation that acts as an umbrella under which all strategies with multilateral and bilateral development partners are involved. This is a way to enhance integration efforts, maximize the use of development funds in meeting the country’s priorities, stimulate the principles of transparency, inclusiveness and integration, maximize the use of concessional development funds to achieve development, promote climate action and expand mechanisms of private sector support.
Al-Mashat added that the trend towards developing an integrated framework for development cooperation comes after updating strategies with multilateral development banks, which lasted for nearly two years, by launching the Country Partnership Frameworks with the World Bank Group, and the United Nations for Sustainable Development Cooperation Framework 2023-2027. H.E. explained that this is one of the key roles of the Ministry of International Cooperation as per the Decree No. 303 of 2004 regarding the development and strengthening of economic cooperation relations between the Arab Republic of Egypt and international and regional countries and organizations, and the management of economic relations of the Arab Republic of Egypt with cooperation organizations, bodies, economic institutions, international financial institutions and specialized agencies of the UN.
The Minister explained that the integrated framework is consistent and coincides with the radical changes that the international community is going through on the economic and geopolitical levels. This casts a shadow on developing countries and emerging economies while adding more challenges to efforts to achieve sustainable development, which reinforces the importance of countries shifting towards innovative solutions in financing tools that support their ability to meet the requirements of comprehensive development and stimulate efforts to confroant climate change. H.E. pointed out that Egypt has long-standing and historical relations with all multilateral and bilateral development partners and that it has strengthened over decades in the form of financing projects through concessional development financing. In this regard, the integrated framework for development cooperation will enhance these capacities by keeping pace with global changes and bringing together national strategies under a unified umbrella that will maximize the effects of development cooperation with all partners.
Al-Mashat stated that it is scheduled to launch interactive processes and consultations that includes all ministries and national entities, based on the principles of integration and inclusiveness, as well as benefiting from development finance in a more effective and efficient manner on ground. This is in addition to achieving integration between the strategies and programs of bilateral and multilateral cooperation with various development partners to serve the vision of the Egyptian government.
H.E. pointed out that the framework would include all economic, social and environmental sectors in a way that promotes comprehensive and sustainable growth and meets the priorities and requirements of the state in light of global challenges and the ongoing international efforts to develop the role of multilateral development banks, led by the World Bank Group (WBG) to enhance its role in achieving common prosperity, poverty reduction and comprehensive and sustainable development.
Al-Mashat stated that the national strategy for international cooperation and development financing is based on three main foundations; 1) Mapping the paths of international cooperation and development financing with national development priorities to enhance the impact of international partnerships and in turn, contribute to achieving national development and the SDGs, 2) Enhancing the methodology for managing and governing the development financing file, which will focus on achieving development results with a tangible and measurable impact and included within the strategy of the Egyptian state, and 3) Following-up on ongoing and new projects and mapping them with national priorities on an ongoing basis, and that the strategy represents a comprehensive framework for formulating strategic planning processes for Egypt's bilateral and multilateral development partners.
Over the past two years, the Ministry of International Cooperation led an extensive consultation process with all multilateral institutions to update strategies for the next five years, in cooperation with the relevant national authorities, to update strategies with the European Bank for Reconstruction and Development (EBRD), the African Development Bank (AfDB), the WBG, the UN, the EU and the European Investment Bank (EIB), in addition to updating strategies with bilateral development partners, including the partnership with Germany until 2024, the partnership with the French Development Agency (AFD) until 2025, the Egyptian-Japanese partnership, the Egyptian-Korean partnership 2022-2026, and the economic cooperation and technical agreement with China.
Egypt UN Sustainable Development Cooperation Framework 2023 - 2027
After a period of consultations that lasted for more than a year and a half, with the participation of about 40 national bodies and 28 UN agencies and programmes, the Ministry of International Cooperation and the UN Egypt Office launched last month, the UNSDCF which aims to achieve 5 pillars: promoting investment in human capital, comprehensive and sustainable economic development, resilience in the face of climate change, sustainable management of natural resources, enhancing governance and transparency, and advancing the comprehensive empowerment of women economically and socially.
Country Partnership Framework with the World Bank Group 2023 - 2027
Recently, the Country Partnership Framework was launched with the World Bank, which sets priorities for joint work with the group and its subsidiaries represented by the International Finance Corporation (IFC) and the Multilateral Investment Guarantee Agency (MIGA), which are working to support the private sector. The framework is based on 3 axes: increasing job opportunities in the sector, improving private sector outcomes, enhancing investment outcomes in human capital, and improving resilience through macroeconomic support and stimulating climate change response measures.
The Country Partnership Framework between Egypt and the EBRD
Early last year, the Country Partnership Framework was launched with the EBRD 2022-2027, with the aim of stimulating joint efforts with the bank to support development through 3 axes: supporting inclusive and sustainable growth, accelerating green transformation and enhancing competitiveness and stimulating the role of the private sector.
Country Partnership Framework with the AfDB
During the activities of the second edition of the Egypt-ICF last September, the new partnership was launched with the AfDB 2022-2026, with the aim of identifying priority areas for joint action to enhance regional integration, based on two main axes: enhancing the competitiveness of the Egyptian economy to support private sector-led growth, and build resilience in food, water, and energy security sectors.
Country Partnership Framework with the EU
The Country Partnership Framework between Egypt and the EU for 2021-2027 was approved in June 2022 with the aim to enhance cooperation between the two sides for the coming period in Luxembourg during February and March, determining priorities for cooperation during the coming period, based on the existing cooperation with the EU in renewable energy, the environment, social protection, food security, water resources management and sustainable transport.
Country Partnership Framework with the EIB
In light of the relationship with the EU, the Country Partnership Framework with the EIB for the period 2021-2027 was developed. This enhances areas of joint cooperation, especially in health, education, environment, energy, water treatment, transport, agriculture and supply, and stimulates joint work with the private sector. Within the framework, and under the "Team Europe" initiative, the European Commission and the EU’s "The Neighbourhood, Development and International Cooperation Instrument (NDICI)", aimed to stimulate the green transition and promote sustainable development efforts.
Partnership with the Federal Republic of Germany
The Egyptian-German governmental negotiations were held under the chairmanship of the Ministry of International Cooperation in December 2022 to define the framework for future cooperation until 2024, within which development funds, grants and debt swaps amounting to €370.8 million will be made available to finance 16 projects in various sectors, mainly education, technical education, vocational training, innovation support and green transformation, as well as the implementation of an axis within the NWFE program.
The Egyptian-French Partnership
Within the partnership between Egypt and France, the joint national strategy was launched with the AFD until 2025, under the title "For Common Prosperity", which aims to present a vision for the partnership capable of aligning the goals and priorities of the AFD group for North Africa 2020-2024. This is in cooperation with the Egyptian government's and sustainable development priorities identified in Egypt's Vision 2030, in addition to the priority areas developed in the national strategic documents including the Egyptian government's action program 2023-2027, Africa's Agenda 2063, the presidential initiative "Haya Karima", as well as the SDGs and the Paris Climate Agreement, which catalyzes the green transition in Egypt. The partnership is being implemented in close coordination with Proparco, the private sector financing arm of the group, and with Expertise France, in charge of technical cooperation.
The Egyptian-Japanese Partnership
In August 2022, the annual strategic dialogue for the Egyptian-Japanese partnership was held with the participation of 11 national and the relevant Japanese entities, represented by the Japan International Cooperation Agency (JICA), the Japan Bank for International Cooperation (JBIC), and the Japan External Trade Organization (JETRO), to set cooperation priorities for the coming period.
The Egypt-South Korean Partnership
In light of the selection of Egypt by the Korean government to be the strategic partner in development cooperation efforts, a strategy was launched for the coming years 2022-2026, with the aim of strengthening economic cooperation between the two countries, and a memorandum of understanding worth $1 billion was signed between the Ministry of International Cooperation and the Korean Import and Export Bank to implement priority projects in the field of sustainable transport, local development, training and other fields.
Cooperation with China
During the year 2021, an economic and technical cooperation agreement was signed between Egypt and China, according to which cooperation will be strengthened in many priority areas, based on existing efforts in the field of scientific research, the transport sector, capacity building, and the promotion of human resources.