Seville: Dr Rania Al-Mashat, Egypt's Minister of Planning and Economic Development and International Cooperation, engaged in a pivotal meeting with Ms. Reem Al-Abli-Radovan, Germany's new Federal Minister of Economic Cooperation and Development, during the Fourth International Conference on Financing for Development (FF4D) in Seville. Egypt's participation in the conference was marked by a high-level delegation headed by Prime Minister Dr Mostafa Madbouly. The discussions centered on the conference's significance amid current global challenges, emphasizing its role in advancing conversations on restructuring financial systems, mobilizing private sector investments, and expanding financing for development. The meeting also highlighted the robust economic cooperation between Egypt and Germany.
According to State Information Service Egypt, Dr Rania Al-Mashat extended her congratulations to Ms. Al-Abli-Radovan on her new role and the formation of Germany's new government under Chancellor Friedrich Merz. Dr Al-Mashat expressed optimism about this phase as an opportunity to deepen bilateral relations characterized by fruitful cooperation in economic and developmental fields. She noted that the bilateral economic cooperation portfolio between the two nations stands at pound 1.6 billion, supporting various developmental projects in sectors such as energy, climate, water supply, sanitation, and more.
Al-Mashat commended Germany's involvement in the "Development Finance Conference to Empower the Private Sector: Economic Growth and Employment," where the "EFSD+ Investment Guarantees" mechanism was launched. Funded by the European Commission with pound 1.8 billion, this initiative aims to stimulate Egypt's private sector, driving economic growth and employment. The meeting also covered the 2022 financial cooperation agreement between Egypt and Germany, valued at pound 118 million, which includes support for technical education and energy projects under the "Nwafi" programme.
A new tranche of pound 21 million was signed under the debt swap programme to improve renewable energy supplies, continuing the cooperation that began in 2011 through the Egyptian-German debt swap initiative. Dr Rania Al-Mashat highlighted the programme's success, emphasizing its role in restructuring the global financial system through effective governance and coordination with German agencies.
Dr Al-Mashat outlined the ministry's efforts to optimize government spending and public investments, aiming for developmental impact while adhering to investment spending ceilings and reducing external loan reliance. The ministry seeks to enhance private sector partnerships for sustainable development financing and maintain a downward trend in external debt. The discussions also touched on the UN Secretary-General's Expert Group on Debt, which identified political priorities for sustainable debt solutions.
The dialogue underscored the need for innovative financing tools aligning with global changes and alleviating the debt burden on developing countries. Dr Al-Mashat reiterated Germany's role as a key international development partner, contributing to Egypt's economic development, climate action, and human capital investment. The financial support agreement reflects the ongoing partnership within the Egyptian-European strategic framework.
In conclusion, Dr Rania Al-Mashat invited the German minister to visit Egypt to observe the collaborative projects firsthand. Both parties expressed enthusiasm for the upcoming 2025 Egyptian-German government negotiations and the activation of the new Egyptian-German debt swap programme tranche in December 2025.