Egypt Selected for $1 Billion Climate Fund Decarbonisation Programme

Egypt has been chosen as one of seven countries to benefit from the Climate Investment Funds' (CIF) $1 billion Industrial Decarbonisation Programme, underscoring international confidence in the country's climate action strategies. The announcement was made by Minister of Planning, Economic Development and International Cooperation Rania Al-Mashat, who highlighted the role of effective partnerships with development partners and the private sector in securing Egypt's winning bid among 26 countries. The selection reflects Egypt's efforts to integrate national policies with climate objectives, particularly since hosting the COP27 summit in November 2022, where the country launched its NWFE" country platform to attract climate investments through government, private sector, and international partnerships.

Key Takeaways:

• Egypt was selected from a global pool of 26 applicants for the CIF's $1 billion Industrial Decarbonisation Programme, which aims to reduce emissions in the industrial sector of developing countries.
• The programme is the first global development financing initiative of its kind and will support low-emission industrial transformation, create green jobs, and improve the long-term economic competitiveness of participating nations.
• The seven selected countries are expected to work with multilateral development banks and private sector partners to develop investment plans for approval by the CIF board, allowing them to access concessional financing to scale up clean technologies.
• Egypt's selection reflects international confidence in the country's climate action strategies and green transformation efforts, which are driven by strong institutional frameworks and effective partnerships with development partners and the private sector.
• The CIF's Clean Technology Fund uses a private capital mobilisation mechanism that generates $12 in additional financing for every dollar it invests, reaching a total of $9 billion.
• Egypt ranked first in the North Africa and Europe region for the CIF's Nature, People, and Climate Investment initiative, which provides $500 million to support projects in developing countries.
• Technical discussions are ongoing with the CIF to use this initiative to fund projects under the NWFE" programme.

Statistics:

• $1 billion: The amount of funding allocated to the Industrial Decarbonisation Programme.
• 7 countries: The number of countries selected for the programme, including Egypt, Brazil, Mexico, Namibia, South Africa, Turkey, and Uzbekistan.
• 26 countries: The number of countries that applied for the programme.
• $2 trillion: The projected value of the global market for eco-friendly goods by 2030.
• $12 in additional financing: The amount generated for every dollar invested by the CIF's Clean Technology Fund.
• $9 billion: The total funding allocated to the Clean Technology Fund.
• $500 million: The amount provided by the CIF's Nature, People, and Climate Investment initiative to support projects in developing countries.

Sources:

• "Egypt selected for $1bn climate fund decarbonisation programme: Al-Mashat" (Dailynewsegypt, [no date provided])