The $700 million will be used to implement a series of reforms, including strengthening the governance of state-owned enterprises
The World Bank announced a $700 million Development Policy Financing (DPF) package to help Egypt achieve more sustainable, diversified, and resilient economic growth. This funding is the first installment of a planned $6 billion program of support for Egypt unveiled in March 2024.
The initiative, titled "Generating Resilience, Opportunities, And Welfare for a Thriving Egypt," aims to address Egypt's immediate economic challenges while laying the groundwork for long-term reforms.
These reforms focus on three key areas:
· Boosting the Private Sector: By creating a more level playing field, the program aims to encourage private businesses to invest and grow in Egypt.
· Enhancing Economic Stability: The DPF will support efforts to improve Egypt's ability to manage its finances.
· Promoting a Greener Economy: The program will invest in renewable energy and improve efficiency in critical sectors like electricity, water, and sanitation.
"This DPF represents a significant step forward for Egypt's economic development," said Rania Al-Mashat, Egypt's Minister of International Cooperation and Governor at the World Bank. "The program aligns with our national priorities and will help us build a more competitive, green, and private sector-led economy."
The $700 million will be used to implement a series of reforms, including strengthening the governance of state-owned enterprises, empowering Egypt's competition authority to crack down on unfair business practices, improving tax collection, reducing energy waste, bolstering Egypt's ability to adapt to climate change and stablishing a framework for trading carbon credits.
The World Bank expects this initiative to create jobs, strengthen the Egyptian economy, and make the country more resilient to climate change. Ultimately, the goal is to create a more sustainable and inclusive economic future for all Egyptians.
