New investments in the private sector to promote sustainable development in Egypt

Egypt seeks to promote economic and social development, and hence investment in theprivate sector emerges as a key tool for achieving Sustainable Development Goals (SDGs), by creating decent work, supporting innovation, and promoting sustainable economic growth. Recent agreements with the European Investment Bank and investment funds reflect the country’s commitment to maximizing the impact of the private sector in vital areas such as healthcare, technology and financial services.

This trend confirms the importance of international cooperation and strategic partnerships in mobilizing funds and developing projects, which contributes to enhancing the sustainability of the Egyptian economy, providing sustainable opportunities for local and regional companies, and achieving integration between economic and social development in line with Egypt’s Vision 2030.

Two agreements to promote investments for the private sector

Dr. Rania Al-Mashat, Minister of Planning, Economic Development and International Cooperation, witnessed the signing of two agreements to enhance investments for the private sector, during the visit of Ms. Gelsomina Vigilotti, Vice President of the European Investment Bank to Egypt, in the presence of Mr. Sheikh Omar Sella, Regional Director of the International Finance Corporation, Mr. Basil Rahmi, President of the Small and Medium Enterprises Authority, and representatives of the private sector.

Agreement to invest in the third RMBV North Africa Fund

The first agreement came with the third RMBV North Africa Fund, through the development arm of the European Investment Bank EIB Global. The agreement stipulates investments amounting to $80 million to accelerate the pace of private sector development and enhance sustainability in Egypt. This investment is expected to contribute to mobilizing more than $300 million in investments in private sector companies, within the framework of a regional investment strategy covering North Africa. The fund provides financing and added value to local companies in high-impact sectors, opening It creates new horizons for growth in Egypt and supports regional growth, in addition to enhancing economic integration between Europe and Egypt.

Agreement to support the growth of pharmaceutical and healthcare companies in Africa

In a related context, the Minister witnessed the signing of an agreement between the European Investment Bank (EIB), the International Finance Corporation, the Small, Medium and Micro Enterprise Development Agency, and the Alta Semper II Fund, according to which the European Investment Bank will invest $37.5 million, and the International Finance Corporation $20 million, in the Alta Semper II Fund, in order to support the growth of pharmaceutical and healthcare companies in Africa, including medical care equipment and technologies. The fund mainly targets North Africa, along with Sub-Saharan Africa, to promote innovation and sustainability and deepen trade relations between the European Union and Africa. This investment reinforces the mobilization of about $150 million in the healthcare sector.

An important episode in the course of the strategic partnership

In her speech, Dr. Rania Al-Mashat, Minister of Planning, Economic Development and International Cooperation, said: These agreements represent an important link in the path of the strategic partnership between the Arab Republic of Egypt and the European Investment Bank, reflect confidence in the Egyptian economy, and confirm the state’s direction towards maximizing the role of the private sector as a major partner towards achieving sustainable development. It also confirms that Egypt has become a platform for cross-border financing whose impact extends beyond Egypt to the surrounding region.

She also explained that, through the “national narrative of comprehensive development,” international cooperation and strategic partnerships represent a major axis to support efforts to achieve sustainable development, empower the private sector, bridge the financing gap, and contribute to the formulation of international policies for global public goods, especially in the sectors of green transformation, sustainable energy, and health care.

She stressed that Egypt represents a pivotal platform for international cooperation with development partners through formulating and implementing projects that directly benefit the citizen and mobilizing funds and technical support for both the government sectors as well as the local and foreign private sectors, noting that during the period from 2020-2024 the European Investment Bank pumped more than one billion euros into 20 local and regional investment funds, from which a large number of small and medium Egyptian companies in the fields of health care, financial services and pharmaceutical industries benefited, Retail, technology, etc.

For her part, Ms. Gelsomina Vigliotti, Vice-President of the European Investment Bank, said: Given Egypt’s strategic importance in areas such as energy cooperation, migration, and common economic interests, it is considered a major partner of the European Union and a key axis in the EIB Global strategy. In this context, direct investment funds play a pivotal role in supporting the private sector and promoting the “mutual benefit” approach between the European Union and its Egyptian private sector partners.

In conclusion, the recent agreements with the European Investment Bank and investment funds reflect Egypt’s commitment to maximizing the role of the private sector in economic and social development, and supporting innovation and entrepreneurship, which contributes to creating sustainable job opportunities and promoting comprehensive growth. The article also highlights the importance of cross-border financing and international partnerships in developing vital sectors such as health care, technology and financial services, thus enhancing regional economic integration.

The Earth Guards Foundation confirms that these efforts embody a practical model for achieving Sustainable Development Goals (SDGs), by integrating innovation, sustainability, and empowering the private sector as a major driver of development. The article emphasizes that targeted investment and strategic partnerships represent a pillar for maximizing social and economic impact in Egypt and the region.