Latest news with #NWFE
Egypt Today
4 days ago
- Business
- Egypt Today
Egypt Set to Launch €1.8 Billion EU-Backed Investment Guarantee Initiative in June
Egypt will roll out a new Investment Guarantee Mechanism in June 2025, in partnership with the European Union, offering guarantees worth €1.8 billion, according to Dr. Rania Al-Mashat, Minister of Planning, Economic Development, and International Cooperation. Speaking at the Egypt-Sweden Business Forum, Al-Mashat explained that the initiative is designed to attract private capital and channel impact investments into key sectors, including energy, infrastructure, digital transformation, water, agriculture, and climate adaptation. The guarantees are expected to unlock further financing from European and global development banks, bolstering Egypt's investment climate and expanding private sector opportunities—particularly for Swedish enterprises. Al-Mashat also outlined recent economic reforms undertaken since March 2024, aimed at reinforcing macroeconomic stability, improving the business environment, and driving sustainable growth. These reforms have led to a strategic pivot toward non-oil manufacturing industries, with a notable rise in private investments even as public investment spending has decreased. Additionally, she underscored the importance of encouraging more direct investment from Swedish companies and strengthening technical cooperation through Egypt's 'NWFE' platform. Al-Mashat further noted Egypt's proactive engagement with the Carbon Border Adjustment Mechanism (CBAM) to ensure its exports remain competitive while supporting the global shift toward lower emissions and green growth.
Daily News Egypt
5 days ago
- Business
- Daily News Egypt
Germany, Egypt ink €118m finance deal, new €21m debt swap tranche
Egypt and Germany signed a €118m (approx. EGP 6.7bn) financial cooperation agreement to support education and the energy pillar of Egypt's 'NWFE' programme, alongside a new €21m (EGP 1.2bn) debt swap tranche for renewable energy supply. The agreements were signed by Egypt's Minister of International Cooperation, Rania Al-Mashat, and German Ambassador to Egypt, Jürgen Schulz. Egypt's Minister of Electricity and Renewable Energy, Mahmoud Esmat, also attended the signing for the new debt swap tranche, which raises the Egypt-Germany Debt Swap Programme's total value to approximately €297m (EGP 16.8bn). The €118m financial cooperation includes a €32m grant for the Comprehensive Technical Education Initiative, benefiting the Ministry of Education and Technical Education. This aims to establish 25 Egyptian Centres of Excellence by constructing around three sector-focused centres. The agreement also allocates €86m – €54m in development financing and €32m in grants – to connect Aqua Power Stations (1) and (2), enabling the offload of 1,100 megawatts of wind energy for the NWFE (Nexus of Water, Food, and Energy) programme's energy pillar. The separate €21m debt swap agreement involves the Central Bank of Egypt, the Ministry of Electricity and Renewable Energy, the Egyptian Electricity Holding Company, and the German Development Bank (KfW), targeting sustainable and renewable energy supply improvement. Al-Mashat said 'these agreements further solidify Egypt's partnership with Germany, contributing to economic development, climate action, and investment in human capital.' She added that 'the financial support agreement is part of an ongoing partnership, bolstered under the framework of the Egyptian-European strategic cooperation and backed by both governments' leaderships.' Al-Mashat also noted the importance of the '€21m debt swap agreement, which builds on cooperation initiated in 2011. Numerous development projects have been carried out under this framework, and the debt swap program with Germany is a practical application of calls to reform the global financial system.' Electricity Minister Esmat confirmed that 'Egypt has undergone a comprehensive infrastructure overhaul and enacted legislative reforms to attract private sector and international investment in electricity and renewable energy, particularly in the renewable energy sector, making Egypt one of the most attractive destinations for investment in this sector.' He highlighted the 'expansion of both solar and wind capacities, driven by both domestic and foreign private sector investment.' Ambassador Schulz stated, 'Egypt is an important partner for Germany in achieving global climate goals. This is why Germany supports Egypt with expertise and funding in its strategic investments for the future, especially in the expansion of renewable energy.' 'From the very beginning, Germany has supported Egypt's climate initiative NWFE as its largest bilateral partner, with assistance amounting to approximately EGP 15bn. The projects referred to in the agreement signed by us today will make it possible to supply more than 2.5 million households with green electricity,' Schulz added. During COP27, Germany committed €250m to support the energy pillar of Egypt's NWFE programme, including €104m in debt swaps. A €54m agreement was signed in 2023 for electricity transmission network investment and to connect two wind farms (Noes Wind Farm and Amunet Red Sea Wind Farm, combined capacity 500 megawatts) to the national grid. Work is ongoing to sign the second debt swap tranche under this programme, valued at €50m.
Egypt Today
5 days ago
- Business
- Egypt Today
Egypt, Germany Advance Green Energy Ties with €21 Million Debt Swap Deal
CAIRO – 26 May 2025: Egypt has signed a new €21 million debt swap agreement with Germany, further strengthening their long-standing development cooperation. The agreement brings together the Central Bank of Egypt, the Ministry of Electricity and Renewable Energy, the Egyptian Electricity Holding Company, and Germany's KfW Development Bank. This funding will help bolster Egypt's renewable and sustainable energy infrastructure, supporting efforts to enhance energy security and transition to cleaner sources. With this latest deal, the total value of debt swap tranches executed between the two countries now stands at approximately €297 million—equivalent to around EGP 16.8 billion. Minister of Planning, Economic Development, and International Cooperation, Dr. Rania Al-Mashat, stressed the significance of the agreement, noting it extends a development partnership that began in 2011 and has since delivered numerous impactful projects. The agreement aligns with Germany's €250 million pledge at COP27 to support Egypt's NWFE (Nexus of Water, Food, and Energy) program, including €104 million allocated through debt swaps. One of the program's milestones came in 2023 with a €54 million agreement to expand Egypt's electricity transmission network and connect two major Red Sea wind farms—Noes and Amunet, with a combined capacity of 500 MW—to the national grid. A second tranche under the NWFE platform, valued at €50 million, is currently in the works. The Egypt-Germany debt swap program is governed by a structured framework that ensures effective implementation and optimal use of funds. The Ministry of Planning plays a leading role in coordinating project selection, conducting negotiations with KfW, and managing the technical and financial components in collaboration with national stakeholders.
Egypt Independent
20-05-2025
- Business
- Egypt Independent
Egypt to receive 4 Billion euros in EU budget support
Minister of Planning, Economic Development, and International Cooperation Rania al-Mashat announced that efforts are in place alongside the European Union (EU) to implement a macroeconomic support mechanism and support the state's budget deficit with a value of four billion euros. She affirmed the Egyptian government's appreciation for the economic partnership with the EU and the upgrade of relations to a strategic partnership. Mashat added that these efforts constitute vital support for the state's efforts to implement the ongoing structural reform program. During her meeting with the European Commissioner for International Partnerships, Joseph Sikela, Mashat discussed strengthening the strategic partnership between Egypt and the European Union. She highlighted sustainable development priorities, green transformation efforts, cooperation within the the 'Team Europe' initiative, and support for the NWFE program. Mashat added that technical discussions with the European side are ongoing in preparation for the upcoming assessment mission, ensuring consensus on reform priorities and enhancing the development impact of financing. The meeting also addressed the private sector investment guarantee mechanism and efforts to activate it to mobilize more European investments into the local market.
Egypt Independent
20-05-2025
- Business
- Egypt Independent
Egypt's Planning Ministry announces 4 billion euros in budget support from EU
Minister of Planning, Economic Development, and International Cooperation Rania al-Mashat announced that efforts are in place alongside the European Union (EU) to implement a macroeconomic support mechanism and support the state's budget deficit with a value of four billion euros. She affirmed the Egyptian government's appreciation for the economic partnership with the EU and the upgrade of relations to a strategic partnership. Mashat added that these efforts constitute vital support for the state's efforts to implement the ongoing structural reform program. During her meeting with the European Commissioner for International Partnerships, Joseph Sikela, Mashat discussed strengthening the strategic partnership between Egypt and the European Union. She highlighted sustainable development priorities, green transformation efforts, cooperation within the the 'Team Europe' initiative, and support for the NWFE program. Mashat added that technical discussions with the European side are ongoing in preparation for the upcoming assessment mission, ensuring consensus on reform priorities and enhancing the development impact of financing. The meeting also addressed the private sector investment guarantee mechanism and efforts to activate it to mobilize more European investments into the local market.
