International financial institutions weigh increased investment in Egypt's water sector

Egypt is seeking to scale up private sector investment and concessional financing for water desalination projects through coordination with international financial institutions, according to the Minister of Planning, Economic Development and International Cooperation. Minister Rania Al-Mashat held an expanded meeting with representatives from global bodies to mobilize technical assistance and funding for public-private partnerships. The discussions centered on the water pillar of the NWFE national platform to boost climate resilience.

Minister Rania Al-Mashat convened an expanded meeting on December 28, 2025, to discuss sustainable infrastructure, bringing together representatives from the International Finance Corporation (IFC), the European Bank for Reconstruction and Development (EBRD), and the African Development Bank (AfDB). Held under the directives of Prime Minister Mostafa Madbouly, the talks aimed to mobilize technical assistance and funding to enhance sustainable water resource management through public-private partnerships.

"The water sector represents a key pillar of cooperation with international institutions and development partners," Al-Mashat said, emphasizing that joint efforts are intended to incentivize greater private sector involvement aligned with government development priorities.

The meeting featured high-level attendees from the French Development Agency (AFD), the Japan Bank for International Cooperation (JBIC), the German Development Bank (KfW), and the Japan International Cooperation Agency (JICA). It also included ACWA Power's Egypt CEO Hussein Amin, along with delegates from Proparco and EBRD's regional head of sustainable infrastructure, Gonzalo Correa.

Al-Mashat pointed to prior collaborations that have delivered major projects, such as the Bahr El-Baqar wastewater treatment system—one of the world's largest facilities—and the Al-Mahsama plant, which supply treated water to expand agricultural land in Sinai.

The government's strategy builds on a 2023 partnership agreement between the IFC, EBRD, and Egypt's Sovereign Fund, offering technical advisory services for four seawater desalination plants. These are set to initially produce 335,000 cubic meters of clean water per day, expanding to 650,000 cubic meters in Matrouh Governorate and the North Coast, supporting Egypt's 2030 Sustainable Development Goals.

Other participants included AfDB Country Manager Abdelrahman Diaw, AFD Director Clemence Vidal, IFC Country Manager for Egypt Saad Sabra, and EBRD Deputy Head Reem El Saady.

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