Egypt Secures EUR 165 Million Financing from European Investment Bank for Green and Infrastructure Projects

Egypt Secures EUR 165 Million Financing from European Investment Bank for Green and Infrastructure Projects

By Staff Writer, 04 January 2024

In a significant move to bolster developmental initiatives, Egypt's Ministry of International Cooperation has sealed a financing deal with the European Investment Bank (EIB) amounting to EUR 135 million or $182 million.

Alongside this substantial agreement, Egypt has also been awarded a grant of EUR 30 million by the EIB, as per an official press release.

These financial injections are earmarked for the Sustainable Green Industry project spearheaded by Egypt's Ministry of Environment.

The initiative, steered by the Environmental Affairs Agency and executed by the National Bank of Egypt (NBE), is set to catalyze Egypt's industrial transformation in line with climate resilience and environmental sustainability goals.

Minister of International Cooperation, Rania El-Mashat, underscored the project's pivotal role in advancing green initiatives across Egypt's industrial heartlands.

The project ambitiously targets all of Egypt's governorates, with a pronounced emphasis on industrial zones and pollution-impacted areas, aiming to mitigate adverse effects on communities and ecological balance.

A noteworthy facet of this collaboration enables industrial entities to access loans, thereby fostering investment and driving growth in strategic sectors.

Moreover, in a separate yet complementary agreement, the Ministry of International Cooperation, representing the Ministry of Housing, Utilities, and Urban Communities, has secured EUR 2 million from the EIB.

This allocation will facilitate the technical groundwork for sludge management solutions in Egypt, identifying feasible financing mechanisms and management strategies for priority areas.

The partnership between Egypt and EIB has flourished over the years, with the current collaboration portfolio standing robustly at EUR 3.50 billion, channelized into 16 developmental projects spanning diverse sectors such as transportation and sanitation.

Notably, between 2020 and 2023, the EIB channeled a substantial $2.80 billion towards bolstering Egypt's private sector.

In a testament to its commitment to the African continent, the EIB inaugurated a regional hub in Egypt last November, amplifying opportunities for synergistic collaborations with both public and private entities across the MENA region.

Source: Zawya

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