The Egyptian Ministry of International Cooperation recently announced that the World Bank has approved $700 million in soft financing for Egypt to enhance macroeconomic stability, promote sustainable growth aligned with green transformation goals, support competitiveness, and improve the business environment in the country.
The development policy financing program is designed to assist the government in addressing short-term economic challenges, implementing structural reforms, achieving economic stability, and creating a favorable business environment conducive to private sector growth. Dr. Rania Al-Mashat, the Minister of International Cooperation and Egypt’s Governor at the World Bank Group, emphasized the government’s commitment to implementing ambitious economic and structural reforms to make the economy more competitive, supportive of private sector-led growth, and environmentally sustainable.
She highlighted that the program supports crucial reforms such as strengthening governance for state-owned institutions, enhancing domestic revenue mobilization, improving climate resilience, and promoting sustainable development. The partnership between Egypt and the World Bank aims to advance development and reform efforts in the country over the long term. The program aligns with Egypt’s national strategies and priorities, including the National Climate Change Strategy 2050, the state ownership policy document, and Egypt’s Development Vision 2030.
Stephane Gimpert, Regional Director for Egypt at Yemen at Djibouti at World Bank Group emphasized on creating sustainable jobs and building climate resilience for achieving prosperity in Egypt particularly for vulnerable populations. He highlighted that supported reform under financing program are seen as crucial steps towards developing a more sustainable and inclusive economy in Egypt. The program is line with Egypt’s country partnership framework with World Bank for fiscal period 2023-2027 which prioritize private sector development and align with diagnostic studies conducted by Bank Group on Egypt.
