Egypt and the EU signed several agreements this week to boost sustainable green industries.
A concessional financing and grant agreement worth 53.8 million euros (LE2.9 billion) was signed between the ministries of planning, economic development, and international cooperation and the environment and the French Development Agency and the European Investment Bank (EIB) as part of efforts to support the green transition in the industrial sector, reduce emissions, and enhance the sector’s competitiveness.
The agreement was signed by Minister of Planning, Economic Development, and International Cooperation Rania Al-Mashat, French Ambassador to Cairo Éric Chevallier, and Vice President of the French Development Agency Jérôme Touron.
The signing took place during a conference held this week on the Sustainable Green Industries Programme in Support of Egyptian Industry. It was organised by the Ministry of the Environment through the Sustainable Green Industries (SGI) Programme, funded by the EIB, the French Development Agency, and the European Union, with the participation of the Egyptian government.
The conference also saw the signing of an 8.8 million euro agreement for SGI’s consultancy services. This was provided as a grant from the European Union and is administered by the EIB. The agreement was signed by Abu Senna, and Guido Clary, head of the EIB’s Regional Hub.
Al-Mashat said that the agreement is part of the programme’s financing package, valued at 271 million euros (LE14.8 billion). It includes a 30 million euro grant from the European Union, 135 million euros in concessional financing from the EIB, and concessional financing from the French Development Agency.
The minister added that the programme is meant to bolster the industrial sector’s capacity to adopt clean technologies and comply with global environmental standards. She noted that the new financing will help expand the range of eligible projects, particularly in energy- and resource-intensive sectors, including iron and steel, cement, chemicals, food industries, and waste management.
The French Development Agency is contributing 45 million euros in concessional financing to the SGI Programme, in addition to the EIB’s 135 million euro loan and the European Union’s 30.5 million euro grant, bringing the total financing package to 271 million euros.
The programme supports industrial facilities in implementing a range of projects, foremost among them compliance with environmental regulations and pollution abatement, decarbonisation projects, new and renewable energy projects, energy and resource efficiency initiatives, and waste-recycling projects, she added.
Chevallier stated that France is reaffirming its commitment to supporting Egypt’s transition towards a cleaner and more competitive industrial sector through its contribution to the SGI Programme. He added that the programme is another step in the long-standing partnership aimed at achieving sustainable, low-emission development.
Clary of the EIB explained that the SGI Programme is a strong indication of Egypt’s commitment to a greener and more competitive future. Through the EU-funded technical assistance package, the project not only provides essential expertise and capacity-building but also enables Egyptian industries to meet the highest environmental standards and seize new opportunities in global markets, he added.
Chief Executive of the Egyptian Environmental Affairs Agency (EEAA) Ali Abu Senna noted that the EEAA has completed all necessary preparations to begin implementing the programme at the institutional level. Currently being formed, a steering committee comprising representatives from government bodies, the private sector, and international partners will be responsible for policy formulation and oversight.
A dedicated implementation unit at the EEAA has also been established to oversee the programme’s technical and executive management, coordinate with industrial establishments, and ensure efficient implementation. In addition, a list of projects requiring financing has been prepared based on requests submitted by companies, he added.
Abu Senna said the SGI Programme aims to advance several of Egypt’s strategic priorities, foremost among them strengthening export capacities by supporting industrial facilities in meeting international environmental standards and the requirements of foreign markets, particularly European markets.
This step will help remove barriers to the entry of Egyptian products into these markets and increase their export share, he said.
The programme also seeks to improve resource efficiency and reduce production costs by enhancing the efficiency of energy, water, and raw material use, thereby boosting competitiveness and directly contributing to cost reductions and improved profitability for industrial establishments, Abu Senna stated.
* A version of this article appears in print in the 27 November, 2025 edition of Al-Ahram Weekly
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