● Al-Mashat: Egyptian-European relations are developing within a framework of integration and partnership that is in line with development requirements under the national development priorities and determinants.
● Distinguished results of the Egyptian-European partnership within the framework of the “Team Europe Initiative” during the period 2020-2023.
● International partnerships with the Team Europe initiative through soft financing amounted to approximately $12.8 billion for the government and private sectors over 4 years, with $7.3 billion for the government sector and $5.5 billion in financing for the private sector
● The Ministry of International Cooperation has been developing strategies with European banks and countries since the launch of the Team Europe initiative in coordination with national authorities.
During the engagement council between the Arab Republic of Egypt and the European Union, held in the Belgian capital, Brussels, to review the distinguished cooperation with the institutions of the Team Europe initiative during 2020-2023 and prepare for the future period of joint work, the Minister of International Cooperation, H.E. Dr. Rania A. Al-Mashat reviewed a comprehensive report on the Egyptian-European cooperation relations during the period from 2020 to 2023, under the title “A shared development vision for progress and prosperity.”
This came during the participation of the Minister of International Cooperation in the Egyptian delegation headed by the Minister of Foreign Affairs, Ambassador Sameh Shoukry.
Al-Mashat stressed that the European Union and its member states, as well as financial institutions and affiliated multilateral development banks, including the European Investment Bank (EIB) and the European Bank for Reconstruction and Development (EBRD), are among the main partners of the Arab Republic of Egypt in advancing the development and construction process, through bilateral cooperation with various countries, along with programs implemented with European banks, in a way that stimulates progress and is in line with the objectives of national priorities and presidential initiatives.
Al-Mashat added that Egyptian-European relations are developing within a framework of integration and partnership that meets development requirements per national development priorities and determinants, noting that cooperation with the European Union is an example of constructive partnerships that extend over decades, which are based on integration, meeting national priorities, and responsiveness in times of crises. This became clear at the time of the COVID-19 pandemic, and then the launch of the 2021-2027 bilateral partnership framework, which works to advance green and sustainable development efforts, advance investment in human capital, and achieve economic resilience and digital transformation, and among the most prominent features of partnerships with the European Union is to drive the transition towards renewable energy by promoting green hydrogen investments.
Development funds and grants within 4 years
Al-Mashat explained that in confirmation of these relations, international partnerships with the Team Europe initiative, through development financing, amounted to about $12.8 billion for the government and private sectors over 4 years, with $7.3 billion for the government sector and $5.5 billion for the private sector, which resulted in attracting investments from European companies in priority sectors, adding that these funds were directed to priority sectors throughout the country, led by sustainable infrastructure, renewable energy and electricity, food security, health and education, sustainable transport, water and sanitation networks, and small and medium enterprises, environment, solid waste management, women’s empowerment, and other programs.
The Minister of International Cooperation noted that Egypt has been cooperating closely with the EIB, which is the European Climate Bank, and the EBRD, for many decades. This cooperation has contributed to the implementation of effective development projects over the years. During the recent period, the Ministry reviewed bilateral cooperation strategies with the banks, which reflects the commitment to support private sector participation, accelerate climate action and improve resilience.
Updating strategies with European partners
Al-Mashat said that since 2020, and in light of the cooperation program between the Arab Republic of Egypt and the European Union 2021-2027, the Ministry of International Cooperation, in coordination with national authorities, has updated and prepared future strategies with multilateral and bilateral European development partners, in implementation of presidential mandates to maximize impact. Among the development cooperation programs, and among the strategies that were approved, are the new country strategy of the EBRD from 2022 to 2027, the country strategy for cooperation with the French Development Agency (AFD) until 2025, and the cooperation strategy with the EIB 2021-2027, as well as cooperation programs and framework agreements implemented with several European countries to enhance development efforts in various sectors.
Climate action is at the forefront
The report, which Al-Mashat presented, indicated that climate action is a top priority on the development cooperation agenda between Egypt and European development partners, and in this regard, many countries, as well as European institutions, are working to support the NWFE program, the connection between water, food and energy projects, as well as the NWFE+ program in the sustainable transportation sector, as an innovative national program to promote the transition to a green economy, implement the National Climate Change Strategy 2050, and implement Nationally Determined Contributions (NDCs).
The EBRD is the main development partner in the energy pillar within the NWFE program, while the EIB is the main development partner in the sustainable transport pillar. The two banks work to provide concessional development financing to the government sector and help mobilize blended financing that stimulates private sector investments and grants technical support to implement projects included in the program.
Also, at COP27 in Sharm El-Sheikh, Germany pledged, under the joint political declaration issued by the Arab Republic of Egypt, the United States of America, and the Federal Republic of Germany, to support the energy pillar of the NWFE program, by providing financing with a total value of €258 million in the form of financing, grants and debt swap.
In the same context, the European side applauded the NWFE program, as well as the NWFE+ program, and their role in promoting the transition to green through the implementation of green projects in the areas of energy, water, food and sustainable transport, as the European Union and European financing institutions, including the EIB, contributed by financing programs in the field of energy, as well as sustainable transportation.
The report referred to the final statement issued by the conference held last November 2023, in the New Administrative Capital, on the NWFE program, which was signed by the European Union, the EIB, Germany and the AFD, in which they praised the government’s decision to update the nationally determined contributions and work to fulfill With its commitment to accelerating the transition towards a low-carbon development path through the NWFE programme.
To Read the Ministry of International Cooperation’s report on the partnership with Team Europe: https://moic.gov.eg/page/egypt-team-europe