The European Investment Bank (EIB) and the EIB Group as a whole has been working closely with the Egyptian Presidency of the COP27 to offer its support both as chair of the world’s multilateral banks and to do its part to make sure that this COP is — as the Egyptian presidency put it — a COP of implementation.
The COP27 offered an opportunity for the EIB to cement cooperation and joint projects, including newly announced cooperation with Egypt in financing the NWFE programme’s pillars. Additionally, the European Investment Fund, which is part of the EIB Group, announced new financing that will support climate action investment with €2.5bn.
At COP27, the EIB, declared its support for new investments in several sectors, namely energy, transportation, water, and agriculture adaptation, signing a number of partnership agreements and letters of intent with the Egyptian government to finance the projects of the National Platform for Green Projects — the NWFE programme.
The signing ceremony was officiated by Egypt’s Prime Minister Mostafa Madbouly, Minister of International Cooperation Rania Al-Mashat, along with several other members of the Cabinet and representatives of the EIB and international finance institutions.
During the event, the EIB confirmed its intention to support Egypt’s green and sustainable transition while also contributing to the country’s resilience to climate change over the period from 2022 to 2030, including renewable energy, transportation, and water and food security projects.
In the water sector, the EIB has already supported investment with more than €1bn in 13 projects in water and wastewater across Egypt. Moreover, new investments of some €400m will be dedicated to the sector to improve access to drinking water and recycle wastewater in the framework of the NWFE programme while also promoting energy efficiency.
During the event, EIB Vice President Gelsomina Vigliotti said: “Each time I travel to this region, I am reminded water is life. The scarcity of water really affects people’s daily lives, and in this regard, we can do a lot. The EIB is the major financier of water projects worldwide.”
The EIB also announced €221m of new financing to support upgrading the 119 km railway between Tanta and Damietta. The 25-year EIB loan will finance the modernisation of what is Egypt’s second busiest railway, increasing passenger and freight capacity, improving speed, and enhancing safety through the installation of new signalling systems.
To contribute to the challenge of food security in Egypt, the EIB is currently working on projects that contribute to agricultural adaptation, climate action, and environmental sustainability objectives. This will support Egypt in building resilience to food shortages due to climate change or to food price spikes by helping to increase and modernise the country’s cereal storage and logistics infrastructure.
EIB Vice-President Ambroise Fayolle in charge of climate action and development stated: “The Egyptian COP27 Presidency has labelled this the implementation COP. I am delighted that the EIB is delivering on this by supporting the country’s ambitious 2050 National Climate Change Strategy through investments in green energy, sustainable transportation, agriculture, and clean water. The signed projects will strengthen Egypt’s resilience to climate change impacts through climate adaptation projects in the water sector as well as climate smart agriculture in the Delta, thereby supporting food security and the well-being of communities on the frontline of climate change.”
Highlighting the importance of the NWFE programme as a model initiative, Vigliotti also said: “We know that this is one of those parts of the world most affected by climate change. In this regard we very much share the objectives of the COP Presidency to look at implementation. Now the real proof is to deliver what we promised. Egypt is a case where we are working very well. Together, with the presidency and other development banks, we helped deliver the NWFE. This nexus of water, food, and energy is something which is very relevant for the of the region.”