The government and EBRD launch fund to support PPPs: The Finance Ministry and the European Bank for Reconstruction and Development (EBRD) have launched a EUR 10 mn fund to finance feasibility studies and advisory services for projects being set up under public-private partnerships (PPP), according to a statement from the Finance Ministry.

More than just financing: The fund aims to speed up the process of tapping consultants for projects — they will now be selected in no more than eight weeks down from 15 months currently, enabling the government to launch over 10 PPP projects simultaneously, the Finance Ministry’s public-private partnership unit head Atter Hannoura said.

We knew this was coming: The FinMin and the EBRD inked a cooperation agreement to set up the fund back in February.

Where’s the money coming from? Egypt has committed EUR 1 mn, while the EBRD chipped in EUR 7-8 mn. The Korean government and European foundations also contributed to the fund, which can be topped up in the future, Hannoura told Al Arabiya.

How it works: The fund is revolving, meaning investors who secure projects reimburse the account for project preparation costs, ensuring financial sustainability. It is open to all PPP projects across infrastructure, utilities, and public services.

What does it mean for investors? The fund will help cut down the period it takes for investors to secure the needed financing to carry out feasibility studies for PPPs. All in all, the fund will help boost local and foreign investments through the PPP model.

The PPP unit will launch projects worth a combined EGP 41 bn in 2025, compared to around EGP 19 bn last year, Hannoura said. The value of the projects offered through PPPs is expected to reach EGP 60-70 bn over the next two years.

DATA POINT- The government signed 30 PPP contracts last fiscal year, with combined investments of EGP 41 bn, across a variety of sectors — waste recycling, dry ports, sanitation, technical education, and more.

And there’s more to come: Several PPP projects are lined up with investments of EGP 25-30 bn, Finance Minister Ahmed Kouchouk said.

REMEMBER- The Finance Ministry was planning to present nine new PPP projects — including power transmission and wastewater treatment projects — worth EGP 39 bn to the PPP Supreme Committee in August, Hannoura said in July. We are yet to hear any updates regarding the projects.

The big picture: The government plans to increase the private sector’s contribution to the overall economy to more than 65% of total investments over the coming couple of years.

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