Egypt initiates talks with EU, int'l partners on Macro-Financial Assistance 2nd phase
Minister of Planning, Economic Development, and International Cooperation Rania Al-Mashat shared this update during an extensive meeting with the National Press Authority, providing insights into the government’s programme for the next three years.
In January, Prime Minister Mostafa Madbouly announced that Egypt had received the first tranche of the European Union's 7.4 billion euros ($8 billion) financing package, totalling 1 billion euros.
This disbursement aligns with the strategic partnership agreement signed between Egypt and the EU in March 2024.
Al-Mashat also noted that the government successfully implemented 86 structural reform measures in 2024 to stabilize the Egyptian economy and improve the business environment.
These reforms enabled Egypt to secure budget support funding from development partners, including the European Union and the World Bank.
FDI and industrial strategy
Al-Mashat noted that the ministry is finalizing a comprehensive strategy to promote growth and sustainability, focusing on foreign direct investment (FDI) and industrial development.
She added that the ministry is working with the World Bank and relevant ministries to complete the FDI and industrial development strategies by the end of this year's first quarter (Q1).
Furthermore, she revealed that private investments increased by approximately 30.1 percent in Q1 of the current fiscal year, reaching EGP 133 billion. This represents 63.5 percent of total investments.
These positive trends reflect the government's efforts to foster a favourable environment for private sector growth.
However, public investments saw a significant decline, dropping by about 60.5 percent to EGP 99.7 billion, compared to EGP 180.4 billion in 2024.
National structural reform programme
Al-Mashat also discussed the ministry's progress overseeing the National Economic and Structural Reform Programme.
This programme, coordinated with various ministries and agencies and in partnership with international development organizations, aims to secure funding for budget support for structural reforms.