World Bank Approves $1B Development Package for Egypt’s Green Economy
Approved under the “Generating Resilience, Opportunities, and Welfare for a Thriving Egypt II” programme, the financing targets job creation fiscal resilience and Egypt’s green transition.
The World Bank Group has approved a $1 billion development financing package for Egypt aimed at supporting private sector-led job creation, fiscal resilience, and the country’s transition toward a greener economy.
The package includes a $200 million credit guarantee from the United Kingdom under the “Generating Resilience, Opportunities, and Welfare for a Thriving Egypt II” Development Policy Financing programme.
According to the programme framework, the financing supports reforms intended to expand the role of the private sector, including measures linked to the governance of state-owned enterprises and the enforcement of fair competition regulations.
The package also backs efforts to improve domestic revenue mobilisation, enhance the efficiency of domestic debt markets, and reduce the cost of government borrowing.
On the social side, the programme includes support for automatically enrolling beneficiaries of the Takaful and Karama initiative into the Universal Health Insurance System to improve access to healthcare services for economically vulnerable groups.
A major component of the financing focuses on Egypt’s environmental transition strategy. Planned reforms include improving greenhouse gas emissions monitoring systems, developing carbon credit markets, encouraging clean energy demand, and strengthening the financial sustainability of the electricity and water sectors.
