Egypt has signed a $1 billion financing agreement with the World Bank to support its economic reform programme. The agreement, signed on November 1, is part of the second phase of the World Bank's Development Policy Financing (DPF) programme. The programme aims to strengthen Egypt's economic resilience, encourage private sector investment, and support the country's transition to a green economy. Prime Minister Mostafa Madbouly witnessed the signing ceremony at the Ministry of Foreign Affairs headquarters in the New Administrative Capital.
The agreement was signed by Foreign Minister Badr Abdelatty and World Bank Regional Director Alwaleed Alataban. The programme, titled "Building Resilience, Creating Opportunities and Enhancing Wealth for Egypt's Prosperity and Stability," seeks to improve the country's business environment and attract private investment. The reform agenda includes improving the governance of state-owned enterprises, removing barriers to private sector investment, and promoting fair competition. These measures aim to increase domestic revenue mobilisation and reduce government borrowing costs.
The second phase of the programme includes social protection and environmental measures. These measures involve expanding the number of beneficiaries of the Takaful and Karama programmes, improving greenhouse gas emissions monitoring, and developing carbon credit markets. The programme also aims to strengthen the financial sustainability of Egypt's electricity and water sectors. This will support the country's efforts to transition towards a green economy and address the effects of climate change.
The World Bank Group's Board of Executive Directors approved the $1 billion financing package in May 2026. The package includes $800 million in World Bank financing and a $200 million credit guarantee from the United Kingdom. The financing represents the second operation in a series of three concessional development financing operations supporting Egypt's economic reform programme.
The programme is aligned with the World Bank Group's Country Partnership Framework for Egypt for 2023–2027. It supports national priorities, including the State Ownership Policy, the government's privatisation programme, Egypt Vision 2030, and the National Climate Change Strategy 2050. The programme will help Egypt achieve its economic development goals and improve the living standards of its citizens.
The World Bank has been supporting Egypt's economic reform programme through a series of financing operations. The first phase of the DPF programme was completed in 2025, and the third phase is expected to be implemented in 2027. The World Bank's support has helped Egypt make progress in its economic reforms and improve its business environment.
Egypt's economic reform programme aims to achieve sustainable and inclusive growth. The programme has been designed to address the country's economic challenges and improve its competitiveness. The World Bank's financing package will help Egypt implement its economic reform programme and achieve its development goals.
Key points
- The programme aims to improve Egypt's business environment and attract private investment.
- The programme includes social protection and environmental measures to support Egypt's transition to a green economy.
- The financing package is part of a series of three concessional development financing operations supporting Egypt's economic reform programme.
