RIYADH: The European Bank for Reconstruction and Development has signed six memorandums of understanding with Egyptian government entities to enhance development cooperation and support national efforts in the areas of investment, energy, and sustainable development.

The North African country’s prime minister Mostafa Madbouly emphasized the importance of these agreements in supporting economic development efforts, strengthening the role of the private sector, and developing the energy sector’s infrastructure.

This will contribute to achieving the state’s objectives in the areas of sustainability, attracting investments, and developing productive capacities.

This follows Egypt’s recent economic momentum, with gross domestic product expanding by 5.3 percent in the first quarter of the 2025-2026 fiscal year, the fastest pace in more than three years, according to Minister of Planning and Economic Development Rania Al-Mashat.

It also reflects growing confidence in Egypt’s economic trajectory, driven by structural reforms, expanding productive sectors, and stronger real-economy activity, with growth forecast to reach 5 percent by the end of the fiscal year.

The newly released statement said: “The MoUs signed today included one to enhance cooperation in investment promotion. This MoU aims to establish a practical framework for promoting investment opportunities and raising awareness of investment mechanisms in Egypt, thereby contributing to increased foreign direct investment inflows and boosting the national economy.”

It added: “Another MoU was also signed to enhance private sector participation in sustainable development and expand private sector access to the Hafiz platform for financial and technical support, through a national roadmap.”

Hafiz serves as a unified national portal, providing companies with access to development financing, technical support, and advisory services.

This agreement seeks to support the Ministry of Planning, Economic Development and International Cooperation in boosting private sector involvement in the development process by linking private companies with international development partners via the Hafiz platform.

“The MoU also aims to enhance the utilization of national promotional tours by companies, particularly small and medium-sized enterprises, to increase their competitiveness and facilitate their access to international markets. This will strengthen institutional partnerships and support the achievement of the Sustainable Development Goals,” the statement said.

Among the deals signed was a project agreement to strengthen the country’s electricity grid between the Egyptian Electricity Transmission Co. and the EBRD as part of a broader cooperation framework aimed at enhancing electricity infrastructure and expanding the grid’s capacity to accommodate renewable energy sources.

An additional agreement included a €165 million ($192 million) financing deal for the Egypt Electricity Grid Enhancement Project. The initiative aims to strengthen the country’s power infrastructure by establishing and upgrading a 500-kilovolt substation in Cairo and constructing a 200 km high-voltage 500 kV transmission line to transport renewable energy from the Gulf of Suez region.

A €35 million investment grant and a €2 million technical cooperation grant were also signed as part of the project to support the strengthening of Egypt’s electricity grid.