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Egypt, EBRD strengthen partnership to drive economic transformation

Businessmen Team news 17 October 2025 03:13 PM
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Egypt, EBRD strengthen partnership to drive economic transformation

The Ministry of Planning, Economic Development, and International Cooperation and the European Bank for Reconstruction and Development (EBRD), one of the world’s largest multilateral development banks, issued a joint statement on September 7 regarding Egypt’s economic and structural reform developments and the launch of the “National Narrative for Economic Development: Policies Supporting Growth and Employment.”

The statement highlighted that the “National Narrative for Economic Development” represents an economic and structural reform program defining Egypt’s economic model. The model focuses on consolidating macroeconomic stability and shifting toward higher-productivity sectors with greater economic complexity. It also aims to leverage Egypt’s strong infrastructure, which supports manufacturing and exports, as well as its strategic geographic location. The program continues the National Structural Reform Program to unlock the economy’s potential and drive private-sector-led growth through a coordinated national effort.

The Ministry and the EBRD noted that, through international cooperation and their strategic partnership, Egypt has achieved progress in implementing strategic projects. At the same time, the country has developed sector-specific strategies with technical support, including the National Green Hydrogen Strategy. Efforts have also focused on expanding private sector financing, including through blended finance instruments. These integrated initiatives have been pivotal in strengthening the foundations of Egypt’s new economic model.

The EBRD, among multilateral development banks, is the largest financier of the private sector, accounting for 22% of total funding, approximately $16 billion, since 2020. The bank plays a key role in implementing the European Union’s Investment Guarantee Facility (EFSD+), attracting both domestic and foreign investments. It supports the private sector through a comprehensive strategy reflecting Egypt’s national priorities. This includes promoting the green transition, developing small and medium-sized enterprises, and providing technical assistance to encourage public-private partnerships.

The joint statement emphasized that the strategic partnership with the EBRD has been crucial in promoting sustainable infrastructure, industrial development, and renewable energy. It has expanded access to finance through credit lines for local banks, including for SMEs and startups. The initiatives place special focus on empowering women and youth.

The statement also highlighted that concessional financing from the EBRD has advanced digital transformation and stimulated investment through pioneering initiatives, such as the National Platform for the Nexus of Water, Food and Energy (NWFE) program. These measures strengthen the resilience and position of the Egyptian economy and support inclusive, sustainable, private-sector-led growth.

The Ministry and the EBRD concluded that accelerating reforms is a key factor in advancing Egypt’s new economic model. This model consolidates macroeconomic stability and unlocks the potential of the private sector as the primary driver of growth, job creation, and innovation. The EBRD reaffirmed its readiness to support Egypt’s economic reform agenda through this partnership, which exemplifies integrated efforts to enhance growth, employment, and economic resilience.