The World Bank Group approved a new Country Partnership Framework (CPF) for Egypt for FY2023–2027, providing the country with $7bn in lending, according to a press release on Wednesday.
The CPF will be implemented jointly by the World Bank, the International Finance Corporation (IFC), and the Multilateral Investment Guarantee Agency (MIGA), building on the three institutions’ current portfolios and adopting a flexible approach to lending. The CPF will bring out $1bn per year from the International Bank for Reconstruction and Development (IBRD) and about $2bn during the entire CPF period from the International Finance Corporation (IFC), in addition to guarantees from MIGA, the press release read.
The new CPF aligns with the Government of Egypt’s Sustainable Development Strategy (SDS), “Egypt Vision 2030,” and the National Climate Change Strategy (NCCS) 2050.
The CPF builds upon a strong set of World Bank Group analytics, including the Systematic Country Diagnostic, the Country Private Sector Diagnostic and the Country Climate and Development Report.
Marina Wes, World Bank Country Director for Egypt, Yemen and Djibouti stated, “This CPF supports Egypt’s efforts to build back better by creating conditions for green, resilient, and inclusive development. It puts the Egyptian people at the centre of its strategy, with a heavy focus on job creation by improving the business environment and levelling the playing field.”
“The private sector plays a critical role in supporting the development of a green, resilient, and inclusive economy,” said Cheick-Oumar Sylla, IFC Regional Director for North Africa and the Horn of Africa. “This Country Partnership Framework demonstrates that when the private sector grows, people have access to more and better jobs – which ultimately helps them have better lives.”
The CPF seeks to accomplish its objectives by achieving three high-level outcomes namely more and better private sector jobs through supporting the creation of an empowering environment for private sector-led investments and job opportunities as well as creating a level playing field for the private sector.
Improved resilience to shocks through strengthened macroeconomic management, and climate change adaptation and mitigation measures.
The CPF also intends to strengthen Egypt’s role in regional integration, which has positive implications for Egypt and potentially the broader region through enhanced regional trade and greater connectivity in infrastructure, transport, energy, and labor. Through the CPF, the World Bank Group will also continue to support Egypt’s ambitions to lead the climate mitigation and adaptation agenda in the region, following the presidency of COP27.
Additionally, the CPF aims to integrate two cross-cutting themes: governance and citizen engagement, and women’s empowerment across programmes.
