Al-Mashat: 12 Development Financing Agreements with Germany worth EUR 197 Million During the First Half 2021

Dr. Rania A. Al-Mashat, Minister of International Cooperation, announced that 12 development financing agreements worth EUR 197 million were signed within the framework of the joint cooperation strategy with Germany, during the first half of this year to support Egypt’s development vision and implement a number of projects in various sectors, including energy, vocational training, enhancing partnerships with the private sector, and empowering women. H.E. Al-Mashat stated that during the first half of this year, two financial and technical cooperation agreements were signed with the German government for the year 2019, securing EUR 57.5 million worth of grants to finance projects in the sectors of energy efficiency, renewable energy, technical education, vocational training, and innovation to the enhance private sector, administrative reform, water support, and sanitation. The Minister of International Cooperation mentioned that the two financial and technical cooperation agreements enhance the implementation of the SDGs, including SDG4: Quality Education, SDG 5: Gender Equality, SDG 8: Decent Work and Economic Growth, SDG 9: Industry, Innovation and Infrastructure, SDG 16: Peace, Justice and Strong Institutions, and SDG 17: Partnerships For The Goals. Al-Mashat added that 10 executive contracts were signed with the German Corporation for International Cooperation (GIZ) in the form of grants; these include the amended contract of the Youth against Sexual Harassment (YASH) project worth EUR 4 million for the Ministry of Youth and Sport; the contract for the development of Micro, Small and Medium-sized Enterprises (MSMEs) project worth EUR 14 million directed to The Ministry of Trade and Industry; as well as the contract worth EUR 8 million for building institutional capacities in public administration by integrating best international practices. One of the vital contracts worth mentioning is the contract for the second phase of the employment support project worth EUR 14.5 million and the Enhancement of the Egyptian Dual System (EEDS) project worth EUR 14.9 million both provided for the Ministry of Education and Technical Education; the executive contract for the National Solid Waste Management Programme (NSWMP) worth EUR 6 million for The Ministry of Environment; and finally the Agricultural Innovation Project (AIP) worth EUR 7 million allocated to the Ministry of Agriculture and Land Reclamation. In addition, a contract for the third phase Employment Promotion Project (EPP) worth EUR 16 million was signed for the Ministry of Education and Technical Education as well. Furthermore, an amended contract for the project supporting SMEs in obtaining financial services worth EUR 10 million allocated to the Egyptian Financial Supervisory Authority (EFSA), and a contract for a capacity-building project through developing infrastructure in areas affected by illegal immigration, with a value of EUR 3.5 million for the Ministry of Housing, Utilities and Urban Communities were signed in the first half of 2021; highlighting both countries’ eagerness to achieve the local and global sustainability targets. H.E. Al-Mashat pointed out that the Ministry is working to strengthen economic relations with multilateral and bilateral development partners through the principles of Economic Diplomacy, commending cooperation with Germany that fosters national development efforts in various sectors through development financing agreements and debt exchange. Coordination is taking place with Germany to make available the third tranche of the second phase during the next year, after communicating and coordinating with relevant authorities in Egypt and receiving proposals on priority projects. It is worth noting that the ongoing development cooperation portfolio with Germany amounts to EUR 1.7 billion, through which 30 projects were financed in the form of funds, technical support grants, and financial contributions, benefiting many development sectors. Within the framework of the debt swap program with Germany, the first phase, worth EUR 70 million was completed, during which several projects were implemented in the field of school feeding, improving the quality of education, rehabilitating hydroelectric stations, developing Assiut Barrages, as well as projects to improve drinking water and sanitation services. The first tranche of the second phase of the program, worth EUR 10 million, was provided for the Ministry of Education and Technical Education for the Education Quality Support Project (Phase II). Furthermore, the second tranche of the second phase of the program, worth EUR 80 million, was allocated to the implementation of several projects: the “Investing in Human Capital in Rural Upper Egypt” project for the benefit of the World Food Program (WFP) and in cooperation with the Ministry of Education and Technical Education; and the Water Management program aiming to improve drinking water and sanitation services in the governorates of Qena, Assiut, Minya and Sohag; and finally, the new comprehensive technical education and vocational training initiative.