Egypt: Minister of Planning, Economic Development and International Cooperation Participates in a Number of Events during the International Monetary Fund (IMF) and World Bank (WB) Annual Meetings

 

“Al-Mashat”: 

• We appreciate the World Bank’s efforts for integration among its organizations, which enhances the effectiveness and efficiency of work and offers more integrated solutions to member countries.

• The country platform for the “NWFE” program established an integrated model for finance, technical support, and international partnerships based on state ownership.

• More than $4.5 billion in funding for the private sector within the program, and signing of power purchase agreements for 8.25 GW of renewable energy out of a targeted total of 10 GW.

As part of her ongoing participation in the Annual Meetings of the International Monetary Fund and the World Bank, H.E. Dr. Rania Al-Mashat, Minister of Planning, Economic Development and International Cooperation, participated in two panel discussions organized by the Center for Global Development (CGD), to discuss the role of International Financial Institutions (IFIs) in addressing current global challenges, as well as country platforms for boosting the effectiveness of development efforts.

The first session, was moderated by Sir Masood Ahmed, CGD President emeritus, and attended by Axel van Trotsenburg, World Bank Managing Director of Development Policy and Partnerships, and Bertrand Dumont, Director General of the French Treasury. Dr. Rania Al-Mashat emphasized that middle-income countries are working to support less developed countries through their contributions to the International Development Association (IDA).

Dr. Rania Al-Mashat reaffirmed that development finance is no longer directed solely towards financing specific projects, but is being directed towards policy-based financing and fostering the role of the private sector, while also highlighting the importance of the “One World Bank Group” concept, which aims to achieve cooperation, coordination, and integration among the World Bank Group organizations, in order to enhance the efficiency and effectiveness of work, and offer more integrated solutions to address global challenges and support development in member countries.

Dr. Al-Mashat added that the world today is witnessing new financing patterns, such as debt-for-development swaps, which can be implemented at the bilateral level or within a multilateral framework. She noted that middle-income countries are presenting an important model and a useful experience for how to use financing tools in different and more efficient ways.

Dr. Al-Mashat stressed that responsibility in the current phase does not fall solely on international institutions, but also extends to include national efforts and internal reforms. She highlighted that the world is currently witnessing a broad dialogue about the importance of transitioning towards an investment-led economy, where economic growth is based on attracting productive investments rather than an increasing reliance on debt, as countries share the willingness to reduce public debt levels and limit their burdens on national budgets.

Minister Al-Mashat explained that most countries in the world, including middle-income countries, suffer to varying degrees from the burdens of external and domestic debt, which makes the transition towards more sustainable growth necessary, through the implementation of deep and comprehensive structural reforms that affect the structure of the economy and ensure the enhancement of its efficiency and competitiveness.

Country Platforms

The Minister of Planning, Economic Development and International Cooperation also participated in a session on country platforms. Dr. Al-Mashat reviewed Egypt’s efforts in attracting climate investments through the implementation of the Country Platform for the “NWFE” program – the nexus of Water, Food, and Energy projects – which served as a model for creating constructive partnerships between various international partners, based on national ownership, to drive green transition efforts.

Dr. Al-Mashat pointed out that the country platform of “NWFE” program changed the concept of how to obtain development financing, by establishing an integrated structure that links policy reform, investment-attractive projects, and financing instruments, which has enabled the local and foreign private sector to obtain concessional financing of more than $4.5 billion to implement renewable energy projects with a capacity of 5.2 GW.

Dr. Al-Mashat mentioned that the total power purchase agreements signed by the government with the private sector under the “NWFE” program reached 8.25 GW out of the program’s total target of 10 GW by 2028, and plans are also underway to halt thermal power plants with a capacity of 5 GW, which enhances Egypt’s direction towards becoming a regional hub for renewable energy.

Minister Al-Mashat underscored that the program includes many financing mechanisms, not only concessional financing but also grants, private investments, debt-for-development swaps, and technical support. She reiterated that multilateral development banks played a pivotal role in providing financing for the implementation of the program’s pillars.

Distributed by APO Group on behalf of Ministry of Planning, Economic Development, and International Cooperation – Egypt.