CAIRO – 15 June 2025: Egypt announced the mobilization of $15.6 billion in development finance for private sector projects from over 30 international partners between January 2020 and May 2025, according to a new report released Sunday by the Ministry of Planning, Economic Development, and International Cooperation.
The figures were disclosed during the “Development Finance to Foster Private Sector-Led Growth & Jobs” conference held in Cairo, which brought together senior government officials, development banks, international institutions, and representatives from the private sector. The event was held under the patronage of Prime Minister Mostafa Madbouly.
The report outlined that concessional financing extended to private companies - both Egyptian and foreign - has grown steadily over the past five years, reaching $1.14 billion in the first five months of 2025 alone. The European Bank for Reconstruction and Development (EBRD) accounted for 22% of total financing to the sector during this period, followed by the European Investment Bank (EIB) with 21%, and the International Finance Corporation (IFC) with 19%.
Speaking at the event, Planning Minister Rania Al-Mashat said the financing reflects “increased engagement by development partners in supporting private sector growth,” describing it as a key driver of job creation and economic resilience.
“Over 40% of concessional financing has gone to banks & financial institutions since 2020, supporting Egypt’s private sector,” Al-Mashat elaborated adding that $4B in concessional financing secured for renewable energy under Egypt’s NWFE program, with 4 GW of capacity now in progress.
International Finance Corporation (IFC) Managing Director Makhtar Diop emphasized the growing role of development finance in Egypt’s economic transformation. “We’re not just financing projects—we’re investing in jobs, innovation, clean energy, and industrialization across Egypt and the region,” Diop said during his remarks at the conference.
Diop added, “Our mission now is to double development finance, mobilizing more capital and scaling up private sector participation.” He pointed to blended finance mechanisms as a key enabler, noting, “Together, we’ve mobilized $15 million through strategic projects—proof that blended finance is delivering.”
“Our investments are fueling progress in renewables, manufacturing, and clean energy, unlocking new sectors for Egypt’s future,” Diop said.
On the same note, Vice President of the European Investment Bank (EIB) for the Levant region, Gelsomina Vigliotti, said that the EIB is proud to work alongside Egypt to unlock sustainable finance and drive private sector growth in the region.
Vigliotti stressed the Bank’s commitment to supporting Egypt’s energy transition and economic development. “We continue to work hand-in-hand with Egypt to expand access to finance, scale up investments, and boost private sector capacity across key sectors,” she noted. She added that more than €15 million in financing has been mobilized since 1979, underscoring the trust built between Egypt and the EIB over decades.
Renewable Energy Agreements Signed
The conference also witnessed the signing of several agreements in the renewable energy sector, including: A $600 million financial closure agreement for the Obelisk solar project, which includes a 1 GW solar power plant and 200 MW battery storage system. The project, developed by Norway’s Scatec, is part of Egypt’s NWFE (Nexus of Water, Food, and Energy) initiative.
A power purchase agreement for the 900 MW Shadwan wind project in Ras Shukeir, also developed by Scatec, with foreign direct investment totaling approximately $1 billion.
A financing agreement between IFC and AMEA Power (UAE) for Egypt’s first utility-scale battery storage facility, linked to the Abydos solar project under NWFE’s energy pillar.
Mark Davis, Managing Director for the Southern and Eastern Mediterranean at EBRD, described the Obelisk project as “a landmark transaction” and part of broader efforts to enhance energy security through renewable solutions.
“Today’s agreements reinforce our shared vision of empowering SMEs, fostering innovation, and unlocking new opportunities for Egyptian entrepreneurs,” Vigliotti said. “Together with public and private sector partners, we aim to reshape the financial landscape, supporting every enterprise, every community, and every breakthrough.”
Platform Expansion and Additional Partnerships
The government also signed an agreement with the Federation of Egyptian Banks to expand the reach of “Hafiz,” a national platform providing financial and technical support for private enterprises. According to the ministry, the platform now hosts over 90 services from 44 development partners and has attracted around 18,000 users.
Separately, a €21 million investment grant agreement was signed with the EIB to support a sustainable green industry program aimed at decarbonizing industrial operations in Egypt.
The planning ministry said the country is preparing to present its experience in blended finance and private-sector mobilization at the upcoming Fourth International Conference on Financing for Development (FFD4) in Seville, Spain
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