GEFF wraps up its first iteration: The European Bank for Reconstruction and Development (EBRD) and its partners – the European Union, the European Investment Bank (EIB) and the Agence Francaise de Developpement (AFD) – have wrapped up the first phase of the Green Economy Financing Facility (GEFF) in Egypt, and are now moving forward with the second and third phases of the program, as announced at an event attended by EnterpriseAM.

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REFRESHER- GEFF Egypt was launched in 2017 to fast-track the green transition by offering concessional green finance and technical support to the private sector. Under the program, the EBRD channels funding through local partner banks to support energy efficiency, renewables, and climate-resilient technologies in businesses and households. The facility is supported by the EU, EIB, AFD, and the Green Climate Fund.

What has GEFF achieved so far? Since its launch, the program has disbursed some USD 154 mn in financing to four partner banks — National Bank of Kuwait (NBK Egypt), Qatar National Bank (QNB), Bank of Alexandria (AlexBank), and the Arab African International Bank (AAIB) — for on-lending to private sector players. These funds helped finance 130 projects worth a combined USD 184 mn, covering 15 economic sectors across 18 governorates.

The breakdown: The four banks helped deliver a combined USD 125 mn in green loans, with NBK Egypt and Alex Bank delivering USD 30 mn, AAIB with USD 25 mn, and QNB with USD 40 mn in an effort to help push forward Egypt’s green transition.

The environmental impact: The environmental impact of the GEFF program has been significant, as it led to annual energy savings of around 1.2k GWh which is enough to power more than 100k urban homes. The initiative also cut CO2 emissions by around 288k tons per year, which is equivalent to planting 4.8 mn trees. The supported projects span a wide range of green investments, including industrial equipment upgrades, rooftop solar installations, the use of sustainable building materials, and water-saving technologies.

El Gouna as a success story: Orascom and SolarizEgypt signed an agreement, supported by GEFF, to build a solar plant that will supply clean energy to the Red Sea town El Gouna for the next 25 years. The project cut electricity costs by 12% and reduced emissions by 8.4k tons annually.

Damfi is also worth noting: Food manufacturer Dough & More Food Industries (Damfi) also benefited from GEFF support, as it invested in a combined cooling, heating, and power system that reuses energy. This resulted in annual energy savings of USD 482k, improved product quality, and a nearly 5k ton annual cut in CO2 emissions, all of which boosted the company’s growth potential.

Other companies going green: Giza Spinning and Insutech are two examples of private sector players using GEFF support to cut energy use and grow. Giza Spinning replaced 22 old machines with new energy-saving ones, cutting its electricity use by 20% and reducing emissions by over 2.5k tons a year, while also boosting production. Meanwhile, Insutech upgraded its foam production line to a more efficient one, saving energy by 36% and cutting CO2 emissions by nearly 2.6k tons annually. The new line also increased output and created new jobs.

It’s not only about funding: The program also prioritized the technical assistance aspect and EU-funded financial incentives, helping businesses identify and adopt high-performing green technologies. MSMEs and households were among the key beneficiaries, supported in adopting efficient and renewable solutions.

What’s next? The second phase of GEFF is already underway, with USD 175.5 mn earmarked for further green projects, and a third phase in the pipeline. The next phases will expand support for rooftop solar, adaptation tech, and small-scale renewables under 5 MW, while continuing to strengthen Egypt’s green finance ecosystem.

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