Egypt signs €53.8M financing agreement with AFD, EIB
Updated 11/23/2025 1:42:00 PM
Arab Finance: Egypt signed a soft loan agreement and grant with the French Development Agency (AFD) and the European Investment Bank (EIB), totaling €53.8 million (EGP 2.9 billion), according to a statement.
The Ministries of Planning and Economic Development and International Cooperation, and Environment penned the agreement as part of efforts to implement the Green Sustainable Industries (GSI) program.
This initiative aims to support the green transformation of the industrial sector, cut emissions, and enhance the sector's competitiveness.
Minister of Planning, Economic Development, and International Cooperation Rania Al-Mashat inked the soft loan agreement with French Ambassador to Cairo Éric Chevallier and the Vice President of the AFD.
In the same vein, a consultancy agreement for the program, valued at €8.8 million, was signed. The grant is provided by the EU and managed by the EIB.
Al-Mashat highlighted that the agreement is part of a €271 million (EGP 14.8 billion) financing package. It includes a €30 million grant from the EU, a total of €135 million in concessional financing from the EIB, and €45 million in concessional financing from the AFD.
She added that the program seeks to enhance the industrial sector's capacity to adopt clean technologies and adhere to global environmental standards
The new funding will contribute to expanding the scope of eligible projects within the program, particularly in energy, the minister affirmed.
On her part, Manal Awad, Minister of Local Development and Acting Minister of Environment, highlighted that the AFD is contributing to the Sustainable Green Industry Program with a soft loan of €45 million. This is in addition to a loan of €135 million from the EIB and a grant of €30.5 million from the EU, for a total funding of €271 million.
This funding will support industrial facilities in implementing several projects, most importantly those related to compliance with environmental laws and pollution control, renewable energy projects, and waste recycling projects.
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