Al Mashat Announces Egypt's Selection to Benefit from CIF's Industrial Decarbonization Program with $1 Billion Funding
Basant Ahmed
Dr. Rania A. Al-Mashat, Minister of Planning, Economic Development and International Cooperation, announced Egypt's selection among 7 countries out of 26 applicants to benefit from the Climate Investment Funds (CIF) Industrial Decarbonization Program. This program is the first global development financing initiative dedicated to reducing harmful emissions in the industrial sector of developing countries, with a value of $1 billion.
Dr. Al-Mashat pointed out that the Ministry of Planning, Economic Development and International Cooperation, in its role of fostering economic relations with international institutions and development partners, submitted Egypt's proposal in collaboration with the European Bank for Reconstruction and Development (EBRD), the World Bank, the International Finance Corporation (IFC), and the African Development Bank (AfDB). This submission was based on Egypt's ambitious vision for transitioning to a green economy, reducing emissions, robust institutional capabilities, and the active participation of both domestic and foreign private sectors, particularly through development financing.
Minister Al-Mashat added that Egypt's selection among the 7 countries underscores the international community's confidence in the national strategies and efforts exerted to enhance climate action. This selection also represents a significant step towards boosting the competitiveness of the Egyptian economy and attracting more climate investments. She highlighted that the Egyptian government is working to integrate national policies and development goals with climate objectives, aiming to advance the implementation of green transformation-incentivizing policies in cooperation with international institutions.
Dr. Al-Mashat emphasized that Egypt has intensified its climate action efforts, particularly since hosting COP27 in November 2022. During this conference, Egypt launched the "NWFE" program country platform, a pioneering initiative that has received unprecedented international support and continuous commendations for its role in encouraging climate investments through partnerships among the government, international institutions, and the private sector.
The CIF confirmed that the 7 selected countries (Egypt, Brazil, Mexico, Namibia, South Africa, Turkey, and Uzbekistan) were chosen based on an independent expert team's assessment. The program aims to support low-emission industrial transformation and create green jobs, thereby enhancing the long-term economic competitiveness of participating countries and qualifying them to benefit from the global market for eco-friendly goods, which is projected to reach $2 trillion by 2030.
This program is part of the Clean Technology Fund (CTF) under the CIF, which has a total value of $9 billion. It leverages the CIF's private capital mobilization mechanism, which is the first of its kind in mobilizing private capital to support countries' sustainable, inclusive, and resilient development priorities.
Tariye Gbadegesin, CEO of the Climate Investment Funds (CIF), stated, "The global race to decarbonize the industrial sector has begun, and emerging markets are leading the way. Decarbonizing industry is not just about cutting emissions, it is also about securing long-term prosperity and future jobs. It is vital to produce the low-carbon industrial inputs the world urgently needs to scale renewable energy capacity and power the global economy."
It is worth noting that in November 2022, during the COP27 climate conference in Sharm El Sheikh, H.E. Dr. Rania Al-Mashat announced that Egypt's bid ranked first among countries in the North Africa and Europe region in the CIF's Nature, People, and Climate Investment initiative. Through this initiative, CIF provides $500 million in support for implementing projects in developing member countries. Technical discussions are underway between the Ministry, relevant entities, and CIF to leverage this initiative by funding a number of projects under the "NWFE" program in areas such as climate-smart agriculture, agribusiness and agricultural finance, coastal ecosystem restoration, and stimulating private sector participation as a common pillar.
The seven selected countries are expected to collaborate with multilateral development banks and private sector partners to develop investment plans for approval by the CIF board. These plans will enable countries to access highly concessional financing to scale up the adoption of clean technologies, such as green hydrogen and low-carbon industries, to achieve a global energy transition.
The program provides developing countries with access to development financing, attracts investments for climate transformation projects, and creates green job opportunities. This program is part of the Clean Technology Fund (CTF) under the Climate Investment Funds (CIF), which has a total value of $9 billion. It relies on the fund's private capital market mechanism, which is the first of its kind in mobilizing private capital to support countries' sustainable, inclusive, and resilient development priorities. For every dollar invested by the Clean Technology Fund, $12 in additional financing is generated.
read more
Gold prices rise, 21 Karat at EGP 3685
NATO's Role in Israeli-Palestinian Conflict
US Expresses 'Strong Opposition' to New Turkish Military Operation in Syria
Shoukry Meets Director-General of FAO
Lavrov: confrontation bet. nuclear powers must be avoided
News
Iran Summons French Ambassador over Foreign Minister Remarks
News
Aboul Gheit Condemns Israeli Escalation in West Bank
News
Greek PM: Athens Plays Key Role in Improving Energy Security in Region
News
One Person Injured in Explosion at Ukrainian Embassy in Madrid
News
China Launches Largest Ever Aircraft Carrier
Sports
Former Al Zamalek Player Ibrahim Shika Passes away after Long Battle with Cancer
Lifestyle
Get to Know 2025 Eid Al Adha Prayer Times in Egypt
Business
Fear & Greed Index Plummets to Lowest Level Ever Recorded amid Global Trade War
Arts & Culture
Zahi Hawass: Claims of Columns Beneath the Pyramid of Khafre Are Lies
News
Flights suspended at Port Sudan Airport after Drone Attacks
News
Shell Unveils Cost-Cutting, LNG Growth Plan
Videos & Features
Video: Trending Lifestyle TikToker Valeria Márquez Shot Dead during Live Stream
Technology
50-Year Soviet Spacecraft 'Kosmos 482' Crashes into Indian Ocean
News
3 Killed in Shooting Attack in Thailand
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
See - Sada Elbalad
2 hours ago
- See - Sada Elbalad
John Luca: Middle East on Fire... Gold Reshaping Global and Local Market Dynamics
Waleed Farouk As geopolitical tensions in the Middle East continue to escalate, global gold prices have surged to record highs, driven by investors' fears of a deepening military conflict between Israel and Iran—an event that has once again underscored the significance of gold as a safe-haven asset in times of international crises. Economist John Luca stated that the ongoing war in the Middle East is likely to push gold prices even higher, both globally and domestically, as investors increasingly seek the metal as a hedge against rising risks. He noted that gold prices soared over the past days, surpassing the $3,400 per ounce threshold—an all-time historic high—fueled by market panic following intensified military rhetoric and exchange of strikes between the two sides, amid a complete absence of de-escalation prospects. Luca pointed out that precious metals traders have strengthened their long positions in expectation that the conflict may widen, potentially disrupting global supply chains and reducing risk appetite across financial markets. This has triggered an accelerated wave of gold buying. The global turmoil has had an immediate impact on the Egyptian gold market, which witnessed sharp price increases in a short period, further exacerbated by the weakening Egyptian pound and growing domestic demand for bullion and gold coins. "Gold is now trading above $3,400 per ounce, and with tensions rising and no signs of calming, the price trajectory is likely to remain upward, especially given the intense uncertainty plaguing the markets," Luca said. He warned that the Egyptian market is heading into a period of high volatility, driven by currency depreciation and mounting inflationary pressures—factors that will further fuel price hikes. 'The significant rise in gold prices will likely slow down consumer demand for jewelry,' he added, 'as buyers shift preference toward bullion and gold coins that do not carry high manufacturing costs, seeking to preserve the value of their money and use it as an investment.' Luca also noted that some manufacturers have already started reducing craftsmanship margins in an effort to attract buyers, but demand for gold jewelry is expected to remain muted in the near term. He anticipated that the Egyptian gold market may face supply shortages in the coming period due to import restrictions and the surge in global prices, which could further widen the gap between buying and selling prices. Luca emphasized the importance of caution when making buy or sell decisions amid persistent price fluctuations. He advised citizens to closely monitor the market and consider raw gold as an investment tool while avoiding high-cost ornamental pieces. He concluded by stressing that the latest developments reaffirm gold's role as one of the most powerful defensive assets during wars and political unrest. With the situation between Israel and Iran intensifying, expectations are growing for gold prices to reach new, unprecedented levels, prompting both individuals and investors to reassess their investment priorities. "In light of all this," Luca said, "market agility, precise timing in buying and selling, and smart selection of gold types—whether bullion or coins—are the key factors that will determine whether citizens and investors gain or lose during this sensitive phase." read more CBE: Deposits in Local Currency Hit EGP 5.25 Trillion Morocco Plans to Spend $1 Billion to Mitigate Drought Effect Gov't Approves Final Version of State Ownership Policy Document Egypt's Economy Expected to Grow 5% by the end of 2022/23- Minister Qatar Agrees to Supply Germany with LNG for 15 Years Business Oil Prices Descend amid Anticipation of Additional US Strategic Petroleum Reserves Business Suez Canal Records $704 Million, Historically Highest Monthly Revenue Business Egypt's Stock Exchange Earns EGP 4.9 Billion on Tuesday Business Wheat delivery season commences on April 15 News China Launches Largest Ever Aircraft Carrier Sports Former Al Zamalek Player Ibrahim Shika Passes away after Long Battle with Cancer Lifestyle Get to Know 2025 Eid Al Adha Prayer Times in Egypt Business Fear & Greed Index Plummets to Lowest Level Ever Recorded amid Global Trade War Arts & Culture Zahi Hawass: Claims of Columns Beneath the Pyramid of Khafre Are Lies News Flights suspended at Port Sudan Airport after Drone Attacks News Shell Unveils Cost-Cutting, LNG Growth Plan Videos & Features Video: Trending Lifestyle TikToker Valeria Márquez Shot Dead during Live Stream Technology 50-Year Soviet Spacecraft 'Kosmos 482' Crashes into Indian Ocean News 3 Killed in Shooting Attack in Thailand
See - Sada Elbalad
2 hours ago
- See - Sada Elbalad
The Safe Haven Turns into a Speculative Arena… Who Controls Gold?
Waleed Farouk Gold prices in local Egyptian markets rose by 5.7% during the trading week that ended on Saturday evening, while global prices rose by 3.6% during the week ending Friday, driven by escalating tensions between Iran and Israel. These developments have reignited gold's appeal as a safe-haven asset amid growing geopolitical risks and global economic uncertainty. Saeed Embabi, Executive Director of the online gold and jewelry trading platform iSagha, stated that local gold prices increased by EGP 240 per gram during the past week. The price of 21-karat gold opened the week at EGP 4,660 and closed at EGP 4,900, while the global ounce price rose by $120, from $3,310 to $3,430. He added that 24-karat gold reached EGP 5,600, 18-karat gold recorded EGP 4,200, and 14-karat stood at EGP 3,267. Meanwhile, the price of a gold pound reached EGP 39,200. Embabi emphasized that local markets experienced unjustified price surges over the weekend, even though international markets were closed. He noted that the last recorded global ounce price was $3,430, and with the official USD exchange rate at EGP 49.85, the fair value of 21-karat gold should have been around EGP 4,800 as of Saturday. However, raw gold traders pushed prices to EGP 4,900, and in some retail shops, it even reached EGP 5,000 per gram on Sunday, despite the weekend holiday. This discrepancy, according to Embabi, suggests that the local market is pricing the dollar at above EGP 51, raising questions about the pricing mechanism—especially in the absence of any logical justification or global developments that could explain such a spike. He accused some market participants of excessive hedging or even speculative greed, stressing that these behaviors may harm consumers, especially when there is no real demand to justify such surges and when 21-karat gold is being sold at EGP 5,000 per gram. 'Raising prices during market holidays without real cause shows that the local market is reacting to fear, not fundamentals,' Embabi said. He outlined two possible scenarios that could explain the gap between local and global gold prices: A sudden spike in local demand, which might have led some traders to raise prices selectively to ease supply pressures. However, Embabi dismissed this, saying: 'We haven't seen any exceptional buying activity or large-scale hoarding that would justify such a sudden rise.' Preemptive moves by major market players, possibly based on expectations of a rise in the parallel market exchange rate or in anticipation of unannounced economic decisions, prompting some to adjust prices defensively. Embabi ruled out geopolitical tensions—such as the Israel-Iran conflict—as the direct cause of the local price surge, noting that geopolitical impacts typically materialize during active global market trading sessions, not after they close, which was not the case here. He advised consumers to exercise caution and patience when making purchasing decisions: 'In this climate of uncertainty, it's better to remain calm and not rush into temporary and unjustified price waves. Waiting and buying at the right time is safer than following potentially unsustainable spikes.' Global Perspective: War Boosts Gold, Dollar Loses Shine On the global front, Embabi noted that Israel's recent military strikes contributed to stock market declines and oil price hikes, boosting gold's attractiveness as a safe haven. The yellow metal ended the week with a historic close at $3,440 per ounce, outperforming the U.S. dollar, which lost some of its luster as a safe-haven asset. He added that the noticeable shift in investor behavior confirms gold's rising status as an economic sanctuary, reflecting declining trust in traditional investment tools—particularly the U.S. dollar and Treasury bonds. U.S. economic data further reinforced this trend: CPI and PPI figures for May showed continued slowing inflation, fueling expectations that the Federal Reserve may cut interest rates in upcoming meetings. Meanwhile, consumer sentiment improved modestly, according to data from the University of Michigan. Markets are now awaiting the outcomes of the Federal Reserve's policy meeting on June 17–18, alongside key releases such as retail sales, industrial output, labor market data, and housing indicators—all of which could shape gold's trajectory in the near term. Despite easing inflation, a 6% jump in oil prices—driven by escalating Middle East tensions—has sparked concerns about a new inflationary wave, particularly in fuel prices, which could renew pressure on central banks' monetary policy stances. Bullish Forecasts Ahead Goldman Sachs reiterated its forecast that gold could reach $3,700 by the end of 2025 and $4,000 by mid-2026—a view echoed by Bank of America, which expects the same level within the next 12 months. The European Central Bank's annual report revealed that central banks' gold reserves have reached 36,000 tonnes, approaching post-Bretton Woods era highs. This suggests that institutional demand remains robust and is likely to support prices in the near term. read more CBE: Deposits in Local Currency Hit EGP 5.25 Trillion Morocco Plans to Spend $1 Billion to Mitigate Drought Effect Gov't Approves Final Version of State Ownership Policy Document Egypt's Economy Expected to Grow 5% by the end of 2022/23- Minister Qatar Agrees to Supply Germany with LNG for 15 Years Business Oil Prices Descend amid Anticipation of Additional US Strategic Petroleum Reserves Business Suez Canal Records $704 Million, Historically Highest Monthly Revenue Business Egypt's Stock Exchange Earns EGP 4.9 Billion on Tuesday Business Wheat delivery season commences on April 15 News China Launches Largest Ever Aircraft Carrier Sports Former Al Zamalek Player Ibrahim Shika Passes away after Long Battle with Cancer Lifestyle Get to Know 2025 Eid Al Adha Prayer Times in Egypt Business Fear & Greed Index Plummets to Lowest Level Ever Recorded amid Global Trade War Arts & Culture Zahi Hawass: Claims of Columns Beneath the Pyramid of Khafre Are Lies News Flights suspended at Port Sudan Airport after Drone Attacks News Shell Unveils Cost-Cutting, LNG Growth Plan Videos & Features Video: Trending Lifestyle TikToker Valeria Márquez Shot Dead during Live Stream Technology 50-Year Soviet Spacecraft 'Kosmos 482' Crashes into Indian Ocean News 3 Killed in Shooting Attack in Thailand
Middle East
3 hours ago
- Middle East
OPEN// PM praises strategic partnership with EIB amid global challenges
CAIRO, June 15 (MENA) - Prime Minister Mostafa Madbouly has lauded the strategic partnership between the Egyptian government and the European Investment Bank (EIB), expressing his keenness to broaden avenues of cooperation with the Bank in the coming period, particularly in light of the serious geopolitical challenges currently facing the region and the world. The Prime Minister's remarks came during his meeting Sunday with Gelsomina Vigliotti, EIB Vice President for the Mashreq Region, and her accompanying delegation, on the sidelines of the Development Finance to Foster Private Sector-Led Growth & Jobs" conference in the New Administrative Capital. The meeting was attended by Minister of Planning, Economic Development and International Cooperation Rania Al-Mashat. Madbouly praised the strong partnership with the EIB and its commitment to financing priority development projects in Egypt while supporting private sector growth. He reaffirmed the government's commitment to empowering and encouraging the private sector, which he described as a strategic partner in driving economic development. The premier noted that the share of private investments in total national investments has risen significantly in recent years, thanks to sustained government support. He added that the state had set clear targets for increasing private sector contribution; targets that have already been exceeded. Madbouly also highlighted Egypt's collaboration with key development partners, including the International Finance Corporation (IFC), particularly in the state IPO program and in sectors such as airport management, telecommunications, and renewable energy. He emphasized that EIB contributions have played a major role in boosting private sector involvement. For her part, Vigliotti affirmed EIB's long-standing cooperation with Egypt, especially in the energy sector, with a special focus on renewables, describing Egypt as a promising market in this field. She also pointed to other areas of ongoing cooperation, including electricity networks and transmission infrastructure, and expressed the Bank's interest in collaborating with Egypt on water projects. Meanwhile, Mashat underscored the strong support provided by the EIB and the breadth of the Bank's cooperation with Egypt since 1979. She noted that the EIB has funded 127 projects worth approximately €14 billion across both public and private sectors. The minister stated that the current cooperation portfolio stands at around €2.9 billion, supporting 16 development projects in transport, environment, sanitation, civil aviation, and SMEs. She expressed her hope to further expand cooperation in the areas of SMEs and entrepreneurship. (MENA) M S H/R E E
