The Ministry of Planning, Economic Development and International Cooperation reviews a report on the development of Egypt-France economic relations

In conjunction with the visit of His Excellency President Emmanuel Macron, President of the French Republic, to the Arab Republic of Egypt, the Ministry of Planning, Economic Development and International Cooperation highlights the key developments in Egypt-France economic relations, within the framework of the close partnership between the two countries and their joint efforts to advance development. These relations have seen continuous progress, especially since President Abdel Fattah El-Sisi assumed office in 2014. This development has been reflected in reciprocal visits and the expansion of partnerships between the two countries to serve a broader range of development sectors.

This partnership aligns with the joint declaration signed between H.E. President Abdel Fattah El-Sisi and H.E. Ursula von der Leyen, President of the European Commission, in March 2024, which aimed to elevate Egypt-European relations to the level of a strategic partnership. This move paves the way for significant advancement in relations between Egypt and European countries, particularly in areas of economy, trade, investment, and development cooperation.

Egyptian-French Relations

Although Egypt-France economic relations span several decades, they have witnessed an unprecedented boom since 2014. The mutual visits between the leaderships of the two countries, along with the broader Egyptian-European partnership, have played a vital role in advancing and diversifying the relations to include more priority development areas. H.E. President Abdel Fattah El-Sisi has visited Paris multiple times—in 2014, 2017, and 2020—while H.E. President Macron visited Egypt during the inauguration of the New Suez Canal in 2015, and again in 2019.

The current visit by the French President to Egypt reflects a commitment to further developing the bilateral relationship and reaffirms the shared dedication to deepening cooperation across various development areas, building on achievements made in recent years.

Development Financing for the Public and the Private Sector

Regarding development cooperation, a framework agreement was signed during the 2006 visit of the French President to Egypt to govern and organize the activities of the French Development Agency (AFD) in Egypt. In 2007, AFD officially opened its office in Cairo.

 

 

The French government has provided financing for both the public and private sectors in Egypt, amounting to around €4 billion—€3.5 billion for the public sector and €500 million for the private sector. In addition, €12.6 million in development grants were offered. AFD also managed European Union grants worth €150 million. These funds and grants have contributed to the implementation of several projects in critical sectors, foremost among them sustainable transport (especially metro projects), housing, education and higher education, health, sanitation, renewable energy, and social protection.

The current development cooperation portfolio between Egypt and France stands at approximately €1.5 billion, covering transport, housing, education, environment, women, and other priority sectors.

H.E. Dr. Rania Al-Mashat, Minister of Planning, Economic Development and International Cooperation, visited France in 2020 and signed a package of financing agreements aimed at accelerating the green transition and investing in human capital with AFD.

Country Platform for the "NWFE" Program

AFD contributes to supporting Egypt’s green transition efforts in  energy and transport projects under the country platform of the “NWFE” program, particularly the Alexandria Regional Control Center and the Abu Qir Metro Project.

The Greater Cairo Metro Project is one of the most prominent symbols of Egypt-France cooperation, serving millions of passengers daily, easing traffic congestion in Cairo, and providing a safe and environmentally friendly transport solution. Accordingly, the Egyptian government is working to expand metro lines in partnership with the French side and other partners.

Additionally, the French side contributed to financing the development of the first line of the Greater Cairo Metro and the development of the Tanta–Mansoura–Damietta railway line.

Renewable Energy

The Egypt-France partnership portfolio includes a variety of projects, among them a budget support program for the energy sector to implement reforms, and a joint technical cooperation program for the development of the green hydrogen sector, in line with Egypt’s national efforts to establish a strong green hydrogen industry.

Universal Health Insurance, Social Protection, and Women's Empowerment

The French side has also funded several projects in the areas of social protection and women’s empowerment, including a budget support program for the social protection sector and a program supporting the Universal Health Insurance System, implemented in cooperation with other development partners. Another project aims to promote gender equality in urban transportation.

During COP27, Egypt launched a program to accelerate gender equality in climate action, in collaboration with the European Bank for Reconstruction and Development (EBRD), AFD, and the African Development Bank (AfDB). The program seeks to strengthen the capacity of private sector companies to better respond to gender equality in climate-related corporate governance, and to link the concept of gender equality with climate action in both the public and private sectors.

Education, Technical Education and Higher Education

In the education sector, the French side has funded the re-establishment of the French University in Egypt, and a technical cooperation project to support the teaching of French as a foreign language in Egyptian public schools.

Country Strategy with AFD

In 2022, the Ministry of Planning, Economic Development and International Cooperation, in collaboration with AFD, launched the new country strategy through 2025 under the theme: “Toward Shared Prosperity.”

The strategy focuses on three key priority pillars:

1. Enhancing the integration of Egypt’s financial, trade, and productive systems at the regional level.
2. Supporting the development of social infrastructure.
3. Promoting equitable and sustainable local development.

The three pillars of the strategy also rest on core sub-pillars:

●       Promoting shared prosperity.

●       Aligning development goals with climate objectives.

●       Creating jobs, innovation, and entrepreneurship.

Trade and Investment Relations

France is one of Egypt’s most important European trading partners. According to data from the Central Agency for Public Mobilization and Statistics (CAPMAS), Egyptian exports to France increased to $1.1 billion in 2024, compared to $855.4 million in 2023—an increase of 22.4%. Egyptian imports from France reached approximately $1.8 billion in 2024, up from $1.7 billion in 2023, a 10.8% increase.

The total volume of trade between the two countries reached about $2.9 billion in the past year, compared to $2.5 billion in the previous year—marking a growth of 14.7%.

Many French companies have substantial investments in Egypt, particularly in the energy, transport, and retail sectors.