Egypt, EU to launch €1.8b investment guarantee in June – minister

Egypt and the EU will launch a €1.8 billion investment guarantee mechanism in June, first announced during the Egypt-EU Summit, to attract private capital and drive impactful investments across key sectors including energy, infrastructure, digitalisation, water, agriculture, and climate resilience, Egypt’s Minister of Planning Rania Al Mashat announced on Tuesday.

Speaking at the Egypt-Sweden Business Forum held at the General Authority for Investment and Free Zones (GAFI), Al Mashat noted that the guarantees would play a pivotal role in mobilising additional funding from European and international development banks and enhancing Egypt’s investment landscape, particularly for private sector players including Swiss companies.

She highlighted recent macroeconomic reforms introduced by the government since March 2024 to support economic stability and improve the business environment.

These efforts, she said, have shifted the nature of Egypt’s growth towards non-oil manufacturing industries, while increasing private investment and reducing reliance on public spending.

Al Mashat also called for greater Swedish foreign direct investment in Egypt and expanded technical cooperation under Egypt’s national platform for NWFE programme.

She reaffirmed Egypt’s commitment to the Carbon Border Adjustment Mechanism (CBAM), which aims to align exports with global green transition goals and reduce greenhouse gas emissions.

Attribution: Amwal Al Ghad English
Subediting: M. S. Salama