Egypt Signs a Concessional Financing and Grant Agreement Worth €53.8 Million (EGP 2.9 Billion) with the French Development Agency and the European Investment Bank to Implement the Sustainable Green Industries Program (GSI)

H.E. Dr. Rania Al-Mashat: The program is part of broader efforts to maximize the role of international cooperation in supporting the competitiveness and sustainability of the industrial sector.

The private sector and factories will benefit from €271 million (EGP 14.8 billion) in concessional financing to reduce emissions and stimulate the green transition.

 

The Ministries of Planning, Economic Development and International Cooperation, and Environment signed a concessional financing and grant agreement with the French Development Agency and the European Investment Bank, worth €53.8 million (EGP 2.9 billion), as part of efforts to implement the Sustainable Green Industries (GSI) Program, which supports the green transformation of the industrial sector, reduces emissions, and enhances competitiveness.

 

The signing took place during a high-level event organized today by the two ministries to introduce the private sector and industrial representatives to the Sustainable Green Industries Program supporting Egyptian industry, with the participation of representatives of international institutions and the National Bank of Egypt.

The concessional financing agreement was signed by H.E. Dr. Rania Al-Mashat, Minister of Planning, Economic Development and International Cooperation, together with H.E. Ambassador Éric Chevallier, French Ambassador to Cairo, and Mr. Jérôme Tournier, Deputy Director of the French Development Agency.

The signing was witnessed by H.E. Lt. Gen. Eng. Kamel Al-Wazir, Deputy Prime Minister for Industrial Development and Minister of Industry and Transport.

In the same context, a technical assistance agreement for the program worth €8.8 million, funded by the European Union and administered by the European Investment Bank, was signed by Dr. Ali Abu Sena, CEO of the Egyptian Environmental Affairs Agency, and Mr. Guido Clary, Head of the EIB Regional Hub.

The signing was witnessed by H.E. Lt. Gen. Eng. Kamel Al-Wazir; H.E. Dr. Rania Al-Mashat; and Ms. Anne Chau, Deputy Head of the EU Delegation to Cairo.

 

 

 

H.E. Dr. Rania Al-Mashat: Strengthened Development Cooperation with European Partners

H.E. Dr. Rania Al-Mashat affirmed that the agreement represents an important step in the trajectory of development cooperation between Egypt and its European partners. She noted that it reflects the confidence of international institutions in the ability of the Egyptian economy to transition toward more sustainable production models.

She explained that the program is directed toward supporting industrial investments aimed at reducing pollution and emissions, and improving energy and resource efficiency within industrial facilities—achieving a direct positive impact on environmental quality and supporting the competitiveness of Egyptian products in international markets.

The minister noted that the signing falls within the financing package for the program, valued at €271 million (EGP 14.8 billion), which includes:

•             €30 million in EU grants

•             €135 million in concessional financing from the European Investment Bank

•             €45 million in concessional financing from the French Development Agency

She added that the program aims to strengthen the industrial sector’s ability to adopt clean technologies and comply with global environmental standards. She confirmed that the new financing will expand the number of eligible projects within the program, especially in energy- and resource-intensive sectors, including steel, cement, chemicals, food industries, and waste management.

 

H.E. Dr. Manal Awad: Supporting Industrial Compliance, Pollution Reduction, and Low-Carbon Industries

H.E. Dr. Manal Awad, Minister of Local Development and Acting Minister of Environment—through remarks delivered on her behalf by Dr. Ali Abu Sena—stated that the French Development Agency is contributing €45 million in concessional financing to the Sustainable Green Industries Program, in addition to €135 million from the European Investment Bank and €30.5 million in EU grants, bringing the total financing to €271 million.

She emphasized that this funding supports industrial facilities in implementing a number of projects, foremost among them environmental compliance and pollution reduction, decarbonization projects, new and renewable energy projects, energy and resource efficiency, and waste-recycling projects.

She pointed out that the Sustainable Green Industries Program aims to achieve several strategic objectives for the Egyptian state. Chief among these is enhancing the export capacity of Egyptian industry by supporting industrial facilities to comply with international environmental standards and external market requirements—particularly European markets—thereby removing obstacles to the entry of Egyptian products and increasing their export share.

Dr. Awad added that the program aims to improve resource-use efficiency and reduce production costs by enhancing the efficiency of energy, water, and raw materials. This directly contributes to lowering costs and improving the profitability of industrial facilities. It also seeks to increase the industrial sector’s contribution to GDP by supporting the localization of clean technology and stimulating green industrial innovation, thereby contributing to higher productivity and the creation of new job opportunities.

 

Statements by International Partners

French Ambassador to Cairo

“Through the GSI Program, France and Team Europe reaffirm their commitment to supporting Egypt’s transition toward a cleaner and more competitive industrial sector. This initiative represents a new step in our long-standing partnership for sustainable, low-emission development.”

Head of the EIB Regional Hub

“The Sustainable Green Industries Project is a strong indicator of Egypt’s commitment to a greener and more competitive future. Through the EU-funded technical assistance package worth €8.8 million, we not only provide essential expertise and capacity building, but also enable Egyptian industries to meet the highest environmental standards and seize new opportunities in global markets.”

Deputy Head of the EU Delegation to Cairo

“Climate change and pollution require collective action from all sectors of society. The private sector plays a central role in addressing these challenges, and the European Union remains committed to supporting Egyptian industries in adopting sustainable practices.”