The Egyptian Government has invested about EGP 29.6bn in Qena and Sohag governorates in the past four years, according to Minister of Planning and Economic Development Hala El-Said.
El-Said said that the remarkable growth in the volume of investments directed to the governorates comes as part of the government’s keenness to reduce development gaps by focusing on the governorates most in need.
The minister indicated that of these government investments during the period from fiscal year (FY) 2016/17 to FY 2019/20, EGP 14.3bn was allocated to Qena Governorate and EGP 15.3bn was allocated to Sohag Governorate.
El-Said’s remarks came in a report by the Ministry of Planning and Economic Development that outlined the development impacts of the local development programme in Upper Egypt, namely Qena and Sohag. The report was released in parallel with the Minister of Planning and Economic Development’s participation, on Thursday, in the launch of the second phase of integrated development projects in Sohag Governorate.
El-Said said that the local development programme in the Upper Egyptian governorates of Qena and Sohag is part of the government’s keenness to advance development in the two governorates to make them more attractive to investments.
The development is also designed to improve the living conditions of citizens, and to develop an integrated regional and local development model that can be put into effect nationwide. It is projected that this will, in turn, strengthen existing cooperation with the World Bank in all joint development programmes and projects.
The minister indicated that investments of about EGP 5.8bn have been directed to the local development programme in Upper Egypt. Of this, EGP 2.8bn has been allocated to Qena Governorate, and EGP 3bn to Sohag Governorate, representing 19.6% of the total government investments directed to the two governorates. Loan financing from the World Bank constitutes 53.4%, while financing from Public Treasury covered the remaining percentage.
Investments worth EGP 2.9bn have been approved for the local development programme in Upper Egypt during FY 2020/21, according to El-Said. Of this, EGP 1.3bn has been allocated for Qena Governorate and EGP 1.6bn for Sohag Governorate, whilst the financing available from World Bank loans constitutes 61% and the treasury financing covered the remaining percentage.
With regard to the sectoral distribution of investments destined for the two governorates, El-Said indicated that drinking water and sanitation projects have acquired the largest proportion, at about EGP 2.5bn, 43% of the total investments. This was followed by road and transport projects with investments of EGP 1.3bn, or 22.3%, then the sector to support local units with a value of EGP 544.2m, or 9.3%. The environmental improvement sector received investments at a value of EGP 482.4m, or 8.3% of the total.