Egypt, Japan sign three agreements, worth dlrs 234 million

CAIRO – Egyptian Minister of Planning, Economic Development and International Co-operation Rania el-Mashaat and Japan’s State Minister for Foreign Affairs Fuji Hisayuki signed on Wednesday three financing and grant agreements, worth dlrs 234 million, to support the budget, develop the private sector, improve the living conditions of small farmers and renovate the Cairo Opera House. 

The deals were signed by the two sides on the sidelines of Mashaat’s participation in a celebration to mark the 70th anniversary of Japan-Egypt development co-operation.

In a statement, the Planning Ministry said the three deals include Development Policy Financing (DPF) to support the private sector, diversify the economy, and support the budget.

The value of this soft loan amounts to 35 billion Japanese yen (equivalent to nearly dlrs 230 million), the ministry added.

The deals are in light of national efforts exerted to relieve the burden of global economic impacts on Egypt’s economy and back structural reform efforts via encouraging private sector investments, improving the business environment, and supporting economic diversification and green transformation.

Mashaat underlined that the policy development program to develop the Egyptian private sector and diversify the economy aims to support the State’s budget, structural reform efforts, and private sector investments via encouraging competitiveness, improving the business environment, and encouraging green transformation.

She further noted that “concessional financing” is one of the most efficient mechanisms for reducing the financing gap and developing the country’s ability to meet its needs and ease regional and global economic tensions.

Mashaat also signed a grant agreement, worth 180 million Japanese yen (equivalent to dlrs 1.17 million) to renovate the National Cultural Center and the Cairo Opera House. This deal aims at improving the center’s infrastructure and its services, in cooperation with the Japan International Cooperation Agency (JICA).

As for the third deal, worth 500 million Japanese yen (equivalent to dlrs 2.3 million), it is related to the socio-economic program. It aims at expanding the scope of agricultural mechanization technology and contributing to increasing agricultural production and the area of ​​cultivated land, and raising the standard of living of small-scale farmers.