Climate-directed funding has significantly contributed to Egypt's economic growth in recent years.
Climate-directed funding has significantly contributed to Egypt's economic growth in recent years - File Photo
European Investment Bank (EIB) announced a new financing package of €1 billion to support investments in Egypt during the Mediterranean Dialogues conference held in Barcelona, Spain this week. Additionally, the EIB allocated €500 million for investment in Morocco.
According to a press statement by the Central Bank of Egypt, Governor Hassan Abdullah highlighted that the Mediterranean Dialogues (MED) conference provided a valuable opportunity to discuss investment priorities with Mediterranean partners.
He further stated that the valuable support from the EIB in investment and financing for small businesses and climate-directed funding has significantly contributed to Egypt's economic growth in recent years.
"As the largest country where the EIB operates, we look forward to further cooperation in launching high-impact investments and creating economic opportunities throughout our nation," Governor Abdullah added.
The EIB, in a press release, announced that on the sidelines of the MED conference, an agreement was reached between Tunisian Minister of Economy and Planning Samir Said and EIB Vice President Ricardo Mourinho-Garcia to support investment in the education sector.
As part of this agreement, a new financing agreement worth €40 million was signed between the Tunisian Ministry of Economy and Planning and the EIB to construct 80 new primary schools benefiting 14,500 students across the country. The total value of the project is estimated at €80 million, with the European Union contributing a grant of €25 million.
The funding provided by the EIB to ENDA has supported the financing of 36,000 projects implemented by women and young people.
Since the beginning of last year, the EIB has allocated €1.52 billion to finance projects aimed at supporting private sector investments throughout the region under the two new funding plans.
The first Mediterranean Dialogues conference since the COVID-19 pandemic presented a favorable opportunity for investment partners to discuss vital investment priorities, explore new ways to stimulate the economy, support businesses, and address climate and energy challenges in the South Mediterranean region.
Since the Russian invasion of Ukraine, the European Investment Bank has provided approximately €3 billion to support the education, healthcare, clean transportation, renewable energy, food security, and commercial investment across the South Mediterranean region.
The announcement of the European Investment Bank's new financing package for Egypt demonstrates the international confidence in Egypt's investment climate and its potential for economic growth.
This funding will contribute to the development of various sectors, foster job creation, and support the country's sustainable development goals. It highlights Egypt's position as an attractive destination for investment and paves the way for further cooperation between Egypt and European financial institutions.
