The Ministry of Planning, Economic Development, and International Cooperation has launched a report titled “Development Financing for Private Sector Empowerment: Economic Growth and Employment.” The report was released during a conference organized by the ministry under the patronage of Prime Minister Dr. Mostafa Madbouly.
Dr. Rania Al-Mashat, Minister of Planning, highlighted that enhancing private sector participation is no longer optional but a strategic necessity to build a resilient economy and achieve sustainable growth and employment. Amid global financial challenges, development financing serves as a vital tool to bridge funding gaps by providing affordable resources, technical expertise, and innovative mechanisms to reduce investment risks, particularly in priority sectors.
She emphasized that continued institutional coordination, transparency, and effective partnerships with development partners will drive transformative projects that create jobs and localize development. Empowering the private sector through development financing is not only an investment in the economy but also in the future.
The report noted significant progress in the private sector’s engagement with multilateral and bilateral development partners since 2020. Development financing directed toward the private sector exceeded $4.2 billion in 2024, surpassing government-directed financing for the first time. This reflects a growing shift among development partners to support private sector investments. From January to May 2025, financing reached $1.14 billion, bringing the total from 2020 to May 2025 to $15.6 billion from over 30 development partners.
The European Bank for Reconstruction and Development led contributions with 22% of total financing, followed by the European Investment Bank at 21%. The International Finance Corporation (IFC) ranked third with 19%. These figures underscore international confidence in Egypt’s investment climate and the private sector’s growing role in driving development.
The report outlines strategies to empower the private sector through an integrated system, including improving the business environment, enhancing competitiveness, and facilitating access to diverse financing tools. It focuses on green transformation, the digital economy, entrepreneurship, and inclusive growth, aligning with Egypt’s Vision 2030.
— new from almasdar.com