Egypt, EU discuss swift disbursement of 1st tranche of €7.4B financial package

CAIRO – 5 December 2024: Egypt's Foreign Minister Badr Abdelatty and the new High Representative of the European Union for Foreign Affairs and Security Policy, Kaja Kallas, have engaged in discussions regarding the European financial assistance package for Egypt, focusing on the swift disbursement of the first tranche.

These talks follow closely after the approval by the Egyptian parliament on Monday of the first installment amounting to €1 billion, part of the EU's €7.4 billion financial support package announced in March to bolster the country's essential macro-fiscal and socio-economic reform agenda.

In a phone conversation with Kallas on Thursday, Abdelatty emphasized the importance of enhancing communication between Egypt and the EU for the European Parliament's approval of the second tranche, which amounts to €4 billion.

During the Egypt-EU Summit held in Cairo last spring, European Commission President Ursula von der Leyen announced a financial and investment package of €7.4 billion euros to Egypt over the next four years.

On the summit sidelines, Egypt and the EU also agreed on elevating their relationship to the level of a strategic and comprehensive partnership based on equity and mutual respect and trust.

The funding includes 5 billion euros in concessional loans as well as 1.8 billion euros of investments, according to a summary published by the EU.

The funding also includes 600 million euros in grants, including 200 million euros that will be provided to Egypt for the management of migration.