Egypt, IFAD reinforce $1.1 bln partnership to advance rural development, food security

Ahram Online , Thursday 5 Mar 2026

Egypt is expanding its strategic partnership with the International Fund for Agricultural Development (IFAD), with joint investments exceeding $1.1 billion aimed at strengthening the country’s agricultural sector, improving food security, and enhancing resilience to climate-related and global supply challenges.

Egypt

 

The cooperation focuses on modernizing agricultural production systems, supporting small-scale farmers, and investing in rural infrastructure and value chains to improve productivity and incomes across several regions.

High-level talks in Cairo
 

During meetings in Cairo on Wednesday, IFAD Regional Director for the Near East, North Africa, Europe, and Central Asia, Noufal Telahigue, held separate discussions with Ahmed Rostom, Egypt’s Minister of Planning and Economic Development, and Alaa Farouk, Minister of Agriculture and Land Reclamation.

The talks focused on expanding joint programmes, aligning international financing with Egypt’s national development priorities, and integrating small-scale farmers into more productive agricultural systems.

Rostom described agriculture as a pillar of Egypt’s economy, noting that government investments increasingly target sectors that enhance food security and agro-processing. He also highlighted the government’s flagship Decent Life (Haya Karima) initiative as a platform to improve rural livelihoods and connect communities to economic opportunities.

Farouk stressed the importance of accelerating the implementation of development programmes to ensure that support reaches smallholders and pastoral communities in vulnerable regions. He pointed to investments in renewable energy, biogas units, and sustainable water sources as key measures to reduce production costs and strengthen climate resilience.

Farouk also underscored the importance of combating agricultural pests, including the red palm weevil, describing prevention efforts as essential to protecting Egypt’s palm production and export capacity.

Key development programmes
 

Several IFAD-supported programmes form the backbone of the partnership.

The Sustainable Transformation for Agricultural Resilience (STAR) programme, valued at $64.5 million, targets poverty reduction in 160 villages across Upper Egypt’s governorates of Minya, Assiut, and Sohag. Implemented in cooperation with the Ministry of Agriculture, the programme supports infrastructure development, rural finance, and the cultivation of high-value crops and agro-processing. It also introduces the “STAR Market” digital platform that provides farmers with real-time price information and logistics services.

Another initiative, Promoting Resilience in Desert Environments (PRIDE), has a budget of $81 million and is implemented in desert areas of Matrouh Governorate. The programme focuses on water harvesting systems, rehabilitation of rangelands and valleys (wadis), and rural road development to connect remote communities with markets. It also includes initiatives to strengthen women’s livelihoods through handicraft training, literacy, financial education programmes, and providing livestock to support income generation.

The Sustainable Agricultural Investments and Livelihoods (SAIL) programme is being implemented across 30 villages. It supports irrigation rehabilitation, solar-powered pumping systems, climate-smart farming practices, and rural financing tailored to farmers, particularly women. The programme also provides early warning systems, farmer training programmes, agricultural machinery, and grants, while investing in potable water networks and strengthening farmers’ organizations.

Irrigation infrastructure modernization
 

The partnership also includes the CROWN project, which aims to modernize irrigation infrastructure in the Nile Valley. The project focuses on lining canals and introducing digital soil-moisture monitoring systems to improve water efficiency and increase agricultural productivity.

Improving irrigation efficiency is seen as a critical step in supporting rural economic development and strengthening the agricultural sector’s ability to meet growing demand.

Expanding cooperation
 

Separately, Egypt’s Minister of Foreign Affairs, International Cooperation, and Egyptians Abroad, Badr Abdelatty, met Telahigue on Thursday to discuss further expanding cooperation between Egypt and IFAD in rural development and food security.

Abdelatty praised the partnership between the Egyptian government and IFAD in supporting rural development and strengthening food security, and commended the fund’s support for the presidential Decent Life initiative.

He stressed the importance of enhancing cooperation with the private sector to improve the efficiency of agricultural land and increase the production of strategic crops, noting that food security has become an increasingly pressing priority amid regional and international challenges.

The minister also praised IFAD’s efforts to support developing countries, particularly those facing conflicts and crises, stressing the importance of ensuring that regional developments do not disrupt global food supply chains or existing agricultural systems.

Abdelatty further highlighted the need to reform the international financial architecture so that global financing institutions can better respond to current challenges and reflect the priorities of developing countries, particularly in Africa. He also called for innovative financing mechanisms to help address rising debt burdens and reduce borrowing costs.

He added that Egypt has launched a financing mechanism for development projects in Southern Nile Basin countries and expressed hope for cooperation with IFAD to maximize its impact.

For his part, Telahigue praised Egypt’s support for IFAD’s regional office, noting that it is one of the fund’s largest. He also commended Egypt’s contribution to IFAD resources and reaffirmed the organization’s commitment to strengthening cooperation to support Egypt’s development priorities and the Sustainable Development Goals.

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