Cairo has secured a one billion dollar financing agreement with the World Bank. The deal aims to strengthen economic competitiveness, improve the business environment, and support the country in its green transition.
The agreement forms part of broader efforts by the North African nation to mobilize development financing from regional and international institutions. The Ministry of Foreign Affairs said the funds would strengthen the economy’s ability to withstand external shocks.
The funding aligns with the World Bank Group Country Partnership Framework for Egypt running from 2023 to 2027. That framework outlined a total financial envelope of seven billion dollars over five years.
This five-year package comprises five billion dollars in financing from the International Bank for Reconstruction and Development. It also includes about two billion dollars from the International Finance Corporation, alongside guarantees from the Multilateral Investment Guarantee Agency.
The new agreement supports state efforts to achieve green development. The ministry statement said the deal helps create an investment environment conducive to generating job opportunities and improving the standard of living for citizens.
The World Bank approved the one billion dollar financing in May. It marked the second operation in a series of three development policy financing packages designed to support structural reforms and build economic resilience.
The second phase includes social, economic, and environmental reforms. Measures include expanding the beneficiary base of the Takaful and Karama social protection programs, which provide support to low-income households.
The program also includes reforms to improve the monitoring of greenhouse gas emissions. It seeks to develop carbon credit markets while advancing the national green transition.
Other measures target the financial sustainability of the electricity and water sectors. They also aim to strengthen the country’s capacity to address the effects of climate change.
The deal comes as Egypt attempts to attract more private investment and sustain growth amid regional instability and pressure on external financing. The World Bank previously flagged risks to the country outlook stemming from the conflict in the Middle East.
The World Bank October 2026 Macro Poverty Outlook reported that the Egyptian economy expanded 5.1 percent in fiscal year 2025/26.
