Egypt’s Planning and Economic Development Minister Ahmed Rostom and a visiting high-level delegation from the European Investment Bank (EIB) discussed on Thursday innovative financing tools, the joint investment portfolio and the activation of a financing guarantee mechanism for infrastructure projects.
Deputy Prime Minister for Economic Affairs Hussein Eissa attended the discussions.
The Ministerial Economic Group considers the infrastructure financing guarantee mechanism a strategic priority, as a key tool to support major projects while reducing the direct burden on the state budget, Eissa said.
For his part, Minister Rostom said the mechanism’s success requires active participation from international partners.
The international institutions’ contributions to its capital would strengthen its sustainability and boost investor confidence, he added.
He also stressed the government’s interest in expanding the partnership to establish a permanent financing entity capable of providing effective risk-mitigation services.
Rostom also stressed the need to make the best use of innovative financing tools and direct them toward high-impact projects.
Expanding guarantees would help reduce financing risks and attract commercial and concessional funding in partnership with the private sector, he said.
Co-ordination is underway with the Central Bank of Egypt (CBE) to secure the necessary licenses under the banking sector’s regulatory framework, he noted.
The minister said work is also underway to prepare the next co-operation portfolio early and identify suitable financing tools for each project, with a focus on green transition, clean energy and sanitation infrastructure, in line with Egypt Vision 2030 and national economic transformation priorities.
For their part, the EIB delegation welcomed the cooperation with the ministry and expressed strong interest in supporting the guarantee and financing structures being developed, as well as expanding support for green energy and infrastructure projects in Egypt.
