Our world today, and the Middle East in particular, is witnessing unprecedented challenges and crises. Conflicts and wars dominate the scene, while economic and trade protectionism and double standards prevail.

Developing countries face immense challenges that hinder their peoples' aspirations for prosperity and development. With financial shortages, escalating debt, widening digital and knowledge gaps, and rising poverty, hunger, and unemployment—especially among youth—developing nations find it extremely difficult to achieve progress and sustainable growth at an acceptable pace.

Addressing these complex challenges requires collective efforts to enhance joint cooperation and implement collaborative projects and initiatives across various sectors, primarily in: communications and information technology, the digital economy, artificial intelligence applications, agriculture, manufacturing industries, and new and renewable energy—particularly green hydrogen. Additionally, there is a need to support and develop small and medium-sized enterprises.

Despite the diverse economic levels among developing countries, we all agree on the importance of exchanging expertise and successful experiences to achieve the Sustainable Development Goals (SDGs). Egypt is fully prepared to share its pioneering experiences with developing nations, particularly its implementation of the "Decent Life" and "Takaful and Karama" initiatives, as well as its infrastructure and urban development projects.

These are key Messages from H.E. President Abdel Fattah El-Sisi across several speeches: the BRICS+ Summit in Russia, the D-8 Economic Cooperation Summit in Egypt’s New Administrative Capital, and the G20 Summit in Brazil.

Over the past four years, Egypt has faced successive and intertwined challenges on local, regional, and international levels—starting with the COVID-19 pandemic, the Russian-Ukrainian war, and their subsequent impacts on the global economy, particularly supply chain disruptions, rising energy and food prices, and the 15-month Gaza war. In 2024, Egypt’s economy entered a new phase of transformation, built on a clear national vision aimed at enhancing macroeconomic stability and strengthening resilience against shocks.

In March 2024, the government began implementing a national economic reform program in collaboration with the International Monetary Fund (IMF). This program marked the launch of a comprehensive phase of reforms designed to improve the state's financial performance, attract foreign direct investment, and continue structural reforms to foster more inclusive growth, led by the private sector.

On July 3rd, the formation of a new Egyptian government, headed by H.E. Dr. Mostafa Madbouly, was announced, alongside the merger of several ministries, including the Ministries of Planning and Economic Development and International Cooperation; aiming to enhance integration and coordination between the investment plan, local resources, international partnerships, and concessional development financing.

At the outset of this new phase, the Ministry of Planning, Economic Development, and International Cooperation redefined its vision, focusing on financing for development and economic diplomacy. With this in mind, we developed the Sustainability and Financing for Economic Development Framework, which outlines the ministry's priorities within the broader context of the Egyptian government’s program.

Today we are amidst a complex global situation, with unprecedented and continuous disruptions over the past five years, starting from the COVID-19 crisis, the Russia-Ukraine war, and extending to the current crises in the Middle East. 

These global and regional economic and geopolitical challenges increase the uncertainty surrounding the global econ-omy, impacting all economies worldwide, including Egypt.

The Ministry’s new framework emphasizes promoting green investments and supporting sustainable infrastructure as part of the state's efforts to transition to a green economy. 

Efforts Towards Transitioning to a Green Economy

The Ministry has launched the "Environmental Sustainability Guidelines," which have resulted in 50% of public investments in the 2024/2025 plan being green investments, compared to 15% in 2020/2021. Projects such as green transportation now account for 50% of public green investments. 

Multi-stakeholder engagement is not merely a collaboration of convenience; it is a purposeful convergence of diverse expertise, resources, and perspectives. By fostering partnerships among governments, international organizations, private businesses, non-governmental organizations (NGOs), and local communities, Egypt has been able to harness a broader range of solutions to address its most pressing development challenges. This section of the report explores how these partnerships have driven key initiatives across multiple sectors and how they continue to propel Egypt’s development agenda forward.

European Union 

On March 17, a Joint Declaration on the Strategic and Comprehensive Partnership was signed by H.E. President Abdel Fattah El-Sisi and EU Commission President Ursula Von Der Leyen. The partnership encompasses 6 key priorities: political relations, economic stability, investments and trade, migration and mobility, security, and people and skills. Part of this cooperation is the Macro-Financial Assistance (MFA). 

The MFA program forms a critical part of the Egypt-EU partnership, is designed to bolster Egypt’s budget, foster macroeconomic stability, and advance structural reforms. Announced as part of a larger financing package announced during the Egypt-EU Summit in March 2024, the MFA includes €5 billion in funding. The first tranche of €1 billion was signed at the Egypt-EU Investment Conference in June 2024.

The MFA is built on three pillars:

● Building Macroeconomic Stability 

● Enhancing Economic Competitiveness & Improving the Business Environment

● Supporting the Green Transition

European Bank for Reconstruction and Development

The EBRD is a key partner in  Egypt’s efforts to promote  private sector development and sustainable growth. The bank’s investments have played a significant role in fostering economic resilience and boosting key sectors, including renewable energy, transport, and human capital.

During a significant six-day visit in March 2024, the EBRD Board of Directors met with H.E. Dr. Rania Al-Mashat and Egyptian officials to review the outcomes of their partnership with Egypt. The visit highlighted the EBRD’s strong commitment to supporting Egypt’s development agenda, particularly in climate action, private sector empowerment, and infrastructure development.

Agence Française de Développement

The cooperation between Egypt and the French Development Agency (AFD) began in 2006 when the two countries signed a framework agreement aimed at enhancing bilateral relations through development projects. Since then, the AFD has been one of Egypt’s key development partners, contributing more than €3 billion in soft development financing and providing grants to support various sectors such as energy, health, transportation, and social infrastructure. Over the years, the partnership has expanded under the framework of the Team Europe initiative, with AFD playing a pivotal role in promoting Egypt’s transition to a green economy and supporting SDGs.

World Economic Forum 

H.E. Dr. Rania A. Al-Mashat met with World Economic Forum (WEF) President Børge Brende as part of his official visit to Egypt. The discussions focused on future areas of collaboration between Egypt and the Forum, building upon the strategic partnership established in 2020 across various economic and developmental fields. 

The discussions focused on strengthening the strategic partnership between Egypt and WEF, which began in 2020, with a focus on attracting investments, advancing climate action, and empowering the private sector. A key highlight was the inclusion of Egypt’s National Green Financing Mechanism (NWFE) in the WEF’s "Playbook of Solutions," underscoring Egypt’s leadership in promoting clean energy investments.

New Development Bank 

Egypt’s partnership with the New Development Bank (NDB) began in 2023 when Egypt officially joined the BRICS-led financial institution. 

The NDB, established in 2014 by Brazil, Russia, India, China, and South Africa, aims to provide financing for infrastructure and sustainable development projects in emerging markets and developing countries. Egypt's inclusion in the NDB has opened new avenues for financing key national development projects in areas such as infrastructure, renewable energy, and climate resilience. Since its accession to the NDB, Egypt has been actively involved in the bank's initiatives, particularly those focused on addressing climate change and boosting private sector investments in green projects. Egypt's role in the NDB also contributes to enhancing the country's position as a regional hub for sustainable development projects and a key player in South-South cooperation.

Click here for more on the NDB.

Cooperation with the United Nations 

Egypt has had a strong and enduring relationship with the United Nations (UN) since the organization's establishment in 1945. As one of the original 51 member states, Egypt has been actively involved in the UN and has held a prominent position within the organization. 

This year, H.E. Dr. Rania A. Al-Mashat co-chaired the 1st Joint Steering Committee (JSC) meeting between Egypt and the UN with the Resident Coordinator Elena Panova. Together, they oversee the implementation of the Egypt - UNSDCF launched last May.

The Joint Steering Committee is a strategic platform that allows stakeholders from the government and the UN to collaborate and monitor progress in 5 specific areas. It brings together the governing team to unlock partnerships and facilitate effective collaboration between government and UN agencies: Fostering Human Capital; Sustainable & Inclusive Economic Development; Enhanced Climate Resilience & Efficiency of Resource Management; Transparency, Accountability & Efficient Governance; and Women’s Empowerment.

South Korea

On behalf of H.E. President Abdel Fattah El-Sisi, President of the Arab Republic of Egypt, H.E. Dr. Rania A. Al-Mashat heads the Egyptian delegation of the 2024 Korea-Africa Summit. 

The summit is themed: “The Future We Make Together: Shared Growth, Sustainability & Solidarity", and aims to strengthen the partnership between the Republic of South Korea and the countries of the African continent, and to enhance joint work to support development efforts on the continent.

Across the year, H.E. Dr. Rania A. Al-Mashat participated in several global events, presenting Egypt’s efforts in accelerating progress towards economic development. 

This includes the 79th United Nations General Assembly (UNGA), the World Economic Forum annual meetings, as well as the Sustainable Development Impact Meetings, International Development Association Program event in Kenya, the G20 in Brazil, Hamburg Sustainability Conference, Italian-African Summit to launch the Mattei Plan, COP29 in Azerbaijan, World Urban Forum in Cairo, and more.

Macroeconomic stability is a necessary but not sufficient condition; structural reforms make it sufficient.

Macroeconomic stability forms the cornerstone of sustainable economic growth and development. 

Achieving and maintaining this stability is crucial for fostering a predictable environment where businesses can thrive, investments can flow, and employment opportunities can be created. 

Macro-economic stability is a prerequisite and necessary condition to implement homegrown sustainable structural reforms designed to attract private investment.

In Egypt, the structural reform program is focused on three key pillars: improving economic competitiveness and business environments, macro-fiscal resilience, and the green transition. This is coupled with targeted social protection programs.

The past period witnessed negotiations and coordination with multilateral and bilateral development partners, as well as relevant ministries and national entities, to mobilize financing for budget support aimed at supporting structural reform policies and encouraging private sector participation in development.

The Ministry of Planning, Economic Development and International Cooperation is streamlining work across all development partners to secure necessary development finance to support these reforms, including from the Work Bank and the EU. 

In the past year, several efforts have been made with multilateral and bilateral development partners over the past months, in coordination with relevant national entities, to mobilize support for the government’s program to implement economic and structural reform policies, budget support, and enhance macroeconomic resilience and competitiveness, as well as encourage the implementation of the State Ownership Policy (SOP) document, by leading the process of negotiation, coordination, and implementing matrices of agreed-upon procedures and policies. 

This is within the framework of an integrated approach that brings together various development partners so as to maximize the benefit from the programs implemented to support the competitiveness of the Egyptian economy and improve the business environment.

The focus on localized development aligns with the national vision of enhancing economic stability, improving citizens' quality of life, and promoting the Sustainable Development Goals (SDGs) across all regions of the country. 

The Government of Egypt through its various institutions, is committed to implementing a clear and consistent economic reform agenda aimed at advancing the Egyptian economy and strengthening its resilience in light of ongoing regional and international developments. This is particularly following the geopolitical and economic challenges since 2020, which have significantly impacted developing and emerging countries striving to catch up with development.

The Egyptian government has embarked on a multi-dimensional economic and structural reform program that covers various aspects of economic activity. The program's central goal is to empower the private sector to address the challenges facing the Egyptian economy and enhance comprehensive and sustainable development.

In this regard, the Ministry of Planning, Economic Development, and International Cooperation is adopting a new philosophy to improve the effectiveness of development plans, integrate domestic and international resources, and support the government's program targets.

The Ministry is currently working on implementing a new methodology for preparing the economic and social development plan for the upcoming fiscal year 2025/2026, which is being discussed with various ministries and state agencies. This methodology is based on an integrated development perspective aligned with Egypt’s Vision 2030, the government’s work program, sectoral plans, and strategies. It will also incorporate the modern approaches outlined in the new Planning Law and its executive regulations, which are nearing completion, in order to support the government’s efforts to implement the "State Ownership Policy Document" and open up space for the private sector.

This methodology reflects the government's primary objective for the upcoming phase: to develop a planning system that is efficient and effective, driving comprehensive and sustainable development using all available tools. This includes improving the efficiency of investment spending, governing and monitoring public investments, strengthening follow-up and evaluation efforts, and coordinating with ministries to improve the quality of development plans through the "Economic and Social Development Plan Preparation Guide" and by providing spatial information to support the planning process via the "Spatial Information Infrastructure System."

The importance of private sector engagement extends beyond economic growth; it is also critical for achieving Egypt’s social and environmental goals. 

Egypt’s economic transformation in recent years has been fueled by the dynamic collaboration between the public and private sectors. This transformation is rooted in a vision to harness the full potential of private enterprises, from small startups to large corporations, to drive the nation’s growth and contribute to sustainable development. This report explores the significance of public-private partnerships, the role of small and medium enterprises (SMEs), and the rise of innovative startups as essential contributors to Egypt’s economic and social progress.

Egypt’s private sector has become a driving force behind the country’s economic transformation, playing a pivotal role in fostering sustainable development and innovation. 

At the heart of these efforts is the Hub for Advisory Finance & Investment for Enterprises, a platform designed to bridge the gap between businesses, government agencies, and international development partners. Through this platform, private companies gain access to critical financial resources, technical assistance, and global market opportunities, enabling them to thrive in a competitive environment.

The Hub is set to expand its capabilities and enhance its impact through the introduction of new features in Phase 2, launching in 2025. These enhancements will strengthen the platform’s role as a comprehensive hub for private sector engagement and development collaboration.

The Upcoming Features Include:

Matchmaking Hub: A dedicated space where businesses, development partners, and government entities can connect, collaborate on projects, expand their networks, and establish strategic partnerships.

Deals: A centralized page showcasing development financing-funded projects by development partners to the private sector, increasing transparency and availability.

Publications: A rich repository of resources published by development partners, offering insights across various sectors to support informed decision-making.

Click here to learn more about the Hub. 

Objective:

To strengthen the capacity of startups and the entrepreneurial ecosystem, driving sustainable and accelerated economic growth based on competitiveness and knowledge, while contributing to the creation of decent job opportunities.

Sub-Objectives:

● Coordinate government efforts to establish supportive policies for startups and foster a strong entrepreneurial ecosystem.

● Maximize the local economy’s benefit from startups as a key driver of accelerated growth.

● Facilitate startups’ access to international markets and promote global expansion.

● Link pressing challenges across various state sectors with innovative solutions from startups.

● Mitigate brain drain by supporting young entrepreneurs, women, and labor-intensive startups. 

Responsibilities: 

● Approve a coordination framework and implement mechanisms for its execution and follow-up.

● Establish and manage joint programs to support startups by leveraging the resources and expertise of various ministries.

● Propose policies, laws, and regulations to achieve the committee’s primary objectives.

● Ensure alignment of activities and initiatives across government entities to avoid conflicts between policies and legislation.

● Undertake any additional tasks assigned by the Prime Minister.

This meeting established the 4 dynamic working groups:

● Policy, Legislative Frameworks & Finance

Aligning policies to support startup needs, driving investment, & creating a robust environment for innovation.

● Coordination of Initiatives & Projects

Streamlining government efforts & maximizing the impact of resources on the entrepreneurship ecosystem.

● Global Market Access, Startup Expansion & Talent Retention 

Helping startups expand globally while retaining talent, enhancing their competitiveness on the international stage.

● Linking Startups to Development Challenges

Connecting startups to national priorities in sectors like tourism, agriculture, & industry — driving economic growth.

As global challenges surrounding climate change, social inequality, and digital transformation intensify, the global community is rethinking development models to build more sustainable and resilient economies. 

Egypt is at the forefront of this transformation, with the Ministry of Planning, Economic Development and International Cooperation playing a pivotal role in orchestrating the country's green, resilient, inclusive, and digital transition. 

This effort reflects Egypt's commitment to achieving its Sustainable Development Strategy, Egypt Vision 2030, in alignment with international frameworks like the UN Sustainable Development Goals (SDGs) and the African Union’s Agenda 2063.

Human capital lies at the core of any nation’s ability to achieve long-term sustainable development.  In Egypt, fostering human capital through strategic investments in education, health, and skills development is central to realizing the country’s Sustainable Development Strategy (SDS) Vision 2030. 

The Ministry of Planning, Economic Development, and International Cooperation views human capital as a driving force for economic prosperity, social cohesion, and resilience in the face of global challenges. 

The section focuses on food security, agriculture, education, gender equality, development across governorates, youth, health and more. 

As Egypt strides towards sustainable economic growth, the nation’s infrastructure development must evolve to align with both global and local environmental priorities. 

The green transition is not merely a policy shift but a structural transformation of Egypt's economy, requiring an integrated approach that combines infrastructure expansion with sustainable practices. By building forward, the government aims to foster resilient infrastructure systems that are adaptable to emerging global challenges, including climate change, while ensuring that development remains equitable and inclusive for all regions.

A key pillar of this strategy involves not only developing enabling infrastructure but also localizing industrial production. 

Through the green lens, Egypt seeks to empower local industries by fostering green technologies, renewable energy sources, and eco-friendly solutions. This shift will reduce carbon footprints, enhance energy efficiency, and create new economic opportunities, positioning Egypt as a leader in the region’s sustainable industrialization. By laying the foundation for sustainable infrastructure today, the nation ensures a future where economic growth and environmental stewardship go hand in hand.

The section focuses on climate solutions, wastewater infrastructure projects, clean and renewable energy, and trade and industry.

Egypt’s Country Platform for the Nexus for Water, Food, and Energy (NWFE) is a flagship initiative by Egypt’s Ministry of Planning, Economic Development, and International Cooperation. This program is designed to address the critical challenges of resource management, sustainability, and climate resilience across Egypt. 

Aligned with Egypt Vision 2030 and the Egypt National Climate Change Strategy (NCCS) 2050, NWFE integrates sector-specific projects across water, food, energy, and Transport (NWFE+), accelerating progress towards  Egypt’s commitment towards a green transformation and sustainable development. The NWFE+ expansion underlines the importance of sustainable transport in reducing emissions and promoting eco-friendly infrastructure in Egypt. 

Egypt is facing significant challenges due to climate change, which threatens water, food, and energy security. To address these challenges, the Egyptian government, in collaboration with international partners, has developed the NWFE  program as part of its 2050 National Climate Change Strategy. The NWFE program is a comprehensive, multi-stakeholder initiative that aims to achieve climate resilience and sustainable development through targeted investments in key sectors. The program focuses on three interconnected sectors: water, food, and energy, and aims to mobilize finance, strengthen institutional capacity, and promote innovative solutions for climate change mitigation and adaptation.

Click here for more information on NWFE. A new report will be released soon.