Egypt Launches New Mechanism for Public-Private Partnerships

Strategic Insights -

Egypt has launched a new mechanism for public-private partnerships (PPPs), in a collaboration between the Ministry of Finance and the European Bank for Reconstruction and Development (EBRD). The partnership aims to provide technical and financial support for implementing PPP projects in various sectors. Speaking at the launch event, Minister of Planning, Economic Development and International Cooperation, Rania Al-Mashat, highlighted the importance of empowering the private sector in the country's economic development. She praised the EBRD for directing over 80% of its investments in Egypt to the private sector and noted that partnerships with international financial institutions are undergoing a "qualitative shift" to support government policies. The new mechanism is expected to complement the state's efforts to enhance the role of the private sector, as outlined in the "National Narrative for Economic Development" and Egypt's Vision 2030.

Key Takeaways:

  • The new PPP mechanism will provide technical and financial support for implementing PPP projects in various sectors, aiming to complement the state's efforts to enhance the role of the private sector.
  • The EBRD has directed over 80% of its investments in Egypt to the private sector, praising the Egyptian state's vision for empowering the private sector.
  • GDP growth in Egypt reached 4.77% in the third quarter of the fiscal year (FY) 2024/25, the highest quarterly growth rate in three years.
  • Private sector investment rose to 62.8% of the total in the third quarter, surpassing public sector investment for the first time.
  • The "National Narrative for Economic Development" aims to continue the path of economic reform, shift towards more productive, export-oriented sectors, and redefine the state's role in the economy.
  • The launch event was attended by ministers of finance, justice, education, tourism, and civil aviation, as well as the head of the Suez Canal Economic Zone and the EBRD's regional director for the Southern and Eastern Mediterranean.

Statistics:

  • GDP growth in Egypt reached 4.77% in the third quarter of the fiscal year (FY) 2024/25.
  • Private sector investment rose to 62.8% of the total in the third quarter, surpassing public sector investment for the first time.
  • The "National Narrative for Economic Development" aims to continue the path of economic reform, with a focus on shifting towards more productive, export-oriented sectors.
  • Public sector investment accounted for 37.2% of the total in the third quarter.
  • The EBRD has invested over 80% of its investments in Egypt in the private sector.

Sources:

  • Daily News Egypt, (2025)
  • European Bank for Reconstruction and Development (EBRD)
  • Ministry of Planning, Economic Development and International Cooperation, Egypt