Egypt signs €135M deal with EIB for sustainable green industry project
The Ministry of International Cooperation has signed a developmental financing agreement with the European Investment Bank (EIB), amounting to €135 million ($149.6 million) and a grant from the European Union worth €30 million ($33.2 million) managed by the EIB.
These funds are earmarked to contribute to the financing of the "Sustainable Green Industry" project for the Ministry of Environment, managed by the Environmental Affairs Agency, and implemented by the Egyptian National Bank, according to a press statement issued, Monday.
The project aims to support the green transformation in the industrial sector by implementing climate change and environmental sustainability measures.
The project will cover all governorates of the country, with a focus on industrial sites and areas affected by pollution, especially air or water pollution, to combat the negative impact on residents and the surrounding environment.
Through these funds, loans will be provided to companies operating in the industrial sector, both in the public and private sectors, to encourage the implementation of investment plans in key areas. These include eliminating industrial pollution of air, water, soil, and workplaces, removing carbon from the industrial sector through the use of renewable energy, green hydrogen, biogas, and developing sustainable industrial practices through energy resource efficiency and circular economy interventions.
On another note, the Ministry of International Cooperation also signed a cooperation agreement with the EIB for €2 million to prepare the technical pre-feasibility study for sludge treatment in Egypt, on behalf of the Ministry of Housing, Utilities, and Urban Communities.
The agreement aims to provide technical assistance for preparing the feasibility study, identifying financing, and providing solutions for managing sludge in priority sites in Egypt. The ultimate goal is to replicate the specified model solutions across other sites. In a later stage, this technical assistance initiative targets an investment priority area for the Egyptian government, particularly for the Ministry of Housing, Utilities, and Urban Communities, the Executive Authority for Drinking Water and Sanitation, and the Holding Company for Water and Wastewater.