Rania Al-Mashat: African development supports the budget with $131 million to complement the national reform program
Minister of Planning, Economic Development and International Cooperation, Dr. Rania Al-Mashat, confirmed that the agreement with the African Development Bank to support the budget with a value of 131 million dollars complements the efforts made with international partners to implement the national program for structural reforms, budget support and private sector development, after the Council recently approved the phase The first part of the macroeconomic support mechanism with the European Union worth one billion euros.
The House of Representatives approved – in its plenary session today Monday – President of the Arab Republic of Egypt Resolution No. 383 of 2024 approving the agreement with the African Development Bank to contribute to financing the first phase of the program to support private sector development and economic diversification within the framework of supporting the state’s general budget with a value of 131 million dollars.
The Minister explained that the private sector development and economic diversification program with the African Development Bank aims to achieve two main components: Encouraging private sector investments by supporting measures related to improving the investment climate and strengthening the framework of competition and trade fairness; And supporting economic diversification and green transformation by strengthening the main productive sectors, specifically the industrial and agricultural business sectors, and supporting the transition to a green economy.
She stated that these efforts are integrated with the measures taken by the government. In order to improve the investment climate and continue economic and structural reforms, she explained that within the framework of the first component of the program, the government has implemented a number of measures, including the establishment of the Supreme Council for Investment, and amending Investment Law No. 72 of 2017 to add new incentives and more flexible standards. for investment projects, canceling exemptions from taxes and fees for state-owned enterprises with investment activities, and establishing the Egyptian Intellectual Property Authority.
With regard to the second component related to supporting economic diversification and green transformation, Many reforms, including issuing a law legalizing unlicensed industrial facilities, and increasing the areas allocated for renewable energy investments by allocating 26 thousand square kilometers of state-owned land.
She noted that enhancing Macroeconomic stability and the implementation of structural reforms is one of the main axes within the framework of the Ministry of Planning, Economic Development and International Cooperation, and the Egyptian state is striving to achieve comprehensive and sustainable development through the concerted efforts of its various institutions in accordance with integrated strategic plans and intends to continue structural reforms to improve the business environment and push the green transformation.
She added that based on that approach, the Ministry of Planning, Economic Development and International Cooperation is responsible for following up on the implementation of the National Strategy for Sustainable Development: Egypt’s Vision. 2030 and the National Program for Economic and Structural Reform, in coordination with the ministries and relevant authorities and in cooperation with international development partners, to obtain budget support funds to support the implementation of structural reforms that would enhance economic competitiveness, improve the business environment, enhance the ability of the macroeconomy to withstand external shocks, and support the green transition. And opening future horizons for comprehensive and sustainable development, in order to maximize the benefit from development partnerships financially and technically.
