During a Meeting of the Plan and Budget Committee in the House of Representatives to Discuss the Actual Implementation of the Economic and Social Development Plan for the Fiscal Year 2023/2024, Future Projections, and the Status of Economic Authorities

During a Meeting of the Plan and Budget Committee in the House of Representatives to Discuss the Actual Implementation of the Economic and Social Development Plan for the Fiscal Year 2023/2024, Future Projections, and the Status of Economic Authorities:

H.E. Dr. Rania Al-Mashat: Including Environmental Sustainability in Planning Systems through the Launch of the "Environmental Sustainability Standards" Guide, with 50% of Green Projects in the 2024/2025 Plan

"NWFE" Program as an Effective Mechanism to Increase Private Sector Participation in the Green Economy Transition

The Private Sector Received Concessional Financing for 4.2 GW of Renewable Energy Projects Under the "NWFE" Program

$14.5 Billion in Development Finance Packages for the Private Sector from Multilateral and Bilateral Development Partners Since 2020

An Additional Allocation of 7.6 Billion Egyptian Pounds to Develop Infrastructure for Transport Networks to Accommodate Energy from Renewable Sources

H.E. Dr. Rania Al-Mashat, Minister of Planning, Economic Development, and International Cooperation, reviewed efforts to enhance green investments and support sustainable infrastructure as part of the country’s transition to a green economy. This took place during a meeting of the Plan and Budget Committee in the House of Representatives, where the actual implementation of the Economic and Social Development Plan for the fiscal year 2023/2024 was discussed, along with key economic indicators. The meeting was attended by Professor Dr. Fakhry El-Feky, Chairman of the Committee, and members of the Plan and Budget Committee.

Enhancing Green Investments

During the meeting, H.E. Dr. Al-Mashat emphasized that the ministry’s new framework aims to enhance green investments and support sustainable infrastructure as part of the country’s green economy transition efforts. As part of this strategy, the ministry is incorporating environmental considerations into the planning system through the launch of the "Environmental Sustainability Standards" guide. According to these standards, 50% of the investment projects in the 2024/2025 plan are green projects, compared to 15% in 2020/2021. Green transportation projects represent around 50% of total green investments. These projects are critical for mitigating the effects of climate change, especially with ongoing investments to expand the metro network and electric rail systems. Investments in green transport have amounted to approximately 115 billion Egyptian pounds in the fiscal year 2023/2024.

"NWFE" Country Platform

H.E. Dr. Al-Mashat stated that in line with the objectives of Egypt’s National Climate Change Strategy 2050, the Ministry of Planning, Economic Development, and International Cooperation launched the "NWFE" program, which is a strategic, dynamic, and participatory initiative in collaboration with development partners. The program represents an effective regional model for providing concessional financing to address climate change issues, including mitigation, adaptation, and resilience, with a focus on a just transition to a green economy. The program provides an effective, human-centered approach to addressing the impacts of climate change and its driving factors.

The "NWFE" program is designed based on a dynamic, reciprocal relationship between three sectors—energy, water, and food—and all projects within this framework are interrelated to serve these sectors. The program reflects long-term commitments extending to 2050. It follows a model of concessional development financing that integrates both state-driven development efforts and the financing from development partners, as well as private sector investments and the expertise available from related agencies to improve project efficiency and attractiveness to financing.

Concessional Financing for the Private Sector

Further supporting the government’s efforts to increase financing for comprehensive and sustainable economic and social development, the ministry is working to increase the amount of development finance available to the private sector. Since 2020, concessional financing packages for the private sector from multilateral and bilateral partners have exceeded $14.5 billion, covering various economic sectors, including banking, financial institutions, energy, transport, logistics, and green transition projects.

Recognizing the private sector’s role, especially in clean and renewable energy, the government has provided an additional 7.6 billion Egyptian pounds to develop infrastructure for transport networks to accommodate energy produced from renewable sources. Clear targets have also been set to increase the share of renewable energy in Egypt's overall energy mix, providing a clear vision for investors in this important development sector.

H.E. Dr. Al-Mashat highlighted that as a result of structural reforms implemented by the government, investments in clean and renewable energy have been boosted, with 4,200 megawatts contracted under the energy component of the "NWFE" program. Concessional financing of $3.9 billion has been secured for private sector companies from international development partners.

International Cooperation and Infrastructure Development

She added that key areas of international cooperation include providing financial support for major infrastructure projects that improve quality of life and drive sustainable economic growth. Additionally, development partners are helping localize industries in Egypt, which contributes to job creation, the development of local technology, and supports national production capacities in line with global standards.

She further explained that international partners also contribute to Egypt’s efforts in human capital development and innovation. These efforts include funding programs in education, research, and innovation, which help build youth capacities and foster a culture of innovation, ultimately creating new job opportunities and driving industrial growth through the knowledge economy.

In line with this, development partners are supporting the green transition by providing finance and expertise for sustainable environmental projects, including renewable energy, water resource management, and carbon emission reduction, thereby enhancing Egypt’s ability to address environmental challenges and achieve sustainable development. Development partners also play an important role in improving Egypt’s business environment and policies by providing consultations and funding for projects that improve the investment climate.

Hub for Advisory, Finance & Investment for Enterprises

H.E. Dr. Al-Mashat noted that the Ministry of Planning, Economic Development, and International Cooperation launched the Hub for Advisory, Finance & Investment for Enterprises to support the private sector with financial and technical assistance. This initiative is part of the state’s efforts to maximize the use of innovative financing alternatives from international financial institutions and development partners to empower the private sector.

The "Hafiz" platform is an integrated system that connects development partners, agencies, government bodies, and the local business community. It aims to enhance communication between private sector companies and development partners and maximize the benefits from development financing, technical support, consulting, and knowledge resources, while also reducing the information gap and overcoming language barriers that prevent companies from accessing services from development partners. The platform provides information on the best available financial and non-financial solutions.

Encouraging Entrepreneurship

Finally, H.E. Dr. Al-Mashat discussed efforts to enhance the role of the private sector, particularly in fostering entrepreneurship that creates job opportunities. As part of the government’s efforts to strengthen the startup ecosystem, the Ministry has held several meetings as part of the Ministerial Group for Entrepreneurship. The goal is to strengthen the ability of startups and the entrepreneurial ecosystem to achieve sustainable, competitive, knowledge-based economic growth that contributes to creating decent jobs.

She also mentioned that the Ministerial Group has developed an organizational structure with a technical secretariat and four working groups made up of members from the entrepreneurial community. These groups focus on policy formulation, legislative frameworks, coordination of initiatives and projects for startups, addressing sectoral challenges with innovative solutions from startups, and drafting a charter for the startup community in Egypt. The group is working on creating a unified definition for startups and establishing short-term measures to support them and reduce the migration of startups abroad.