World Bank expected to disburse $1B from $6B package during H2 2024: Al Mashat

Cairo – April 18, 2024: Egypt’s Minister of International Cooperation (MoIC), Rania Al Mashat, recently stated in an interview that the World Bank (WB) is expected to disburse $1 billion during the second half of 2024 as part of the $6 billion support package announced back in March.

Speaking on the sidelines of the International Monetary Fund and World Bank’s spring meetings, Al Mashat highlighted that the financial will also be directed towards Egypt’s reform programs.

The $6 billion package includes $3 billion for governmental programs and an additional $3 billion for the private sector, and is set to be disbursed within the next three years.The announcement for the program was released within 24 hours of the EU’s pledge to provide a $7.8 billion support package.

Al Mashat explained that the agreement with the WB has three axes; stabilizing the macroeconomic and increasing its solidity, enhancing competitiveness and private sector participation, and promoting the country’s green transformation.

She also explained that the government is collaborating with the International Finance Corporation, affiliated with the World Bank, regarding Egypt’s privatization program for offering state-owned companies and assets.

Al Mashat’s comments comes within 24 hours of Finance Minister Mohamed Maait sharing that Egypt’s plans to complete its privatization program within the coming 3-5 years.

During an interview on Wednesday, the finance minister stressed that the government remains committed to the program. The program, which was revitalized back in March 2023, includes 40 state-owned companies across 18 sectors which will be disseminated through its initial public offerings (IPO) or offerings to strategic investors.

The program is expected to bring in revenues of $6.5 billion in 2024.

Al Mashat also revealed that Egypt is working with the World Bank on measures related on the governance of state-owned companies.

Egypt’s delegation at the WB and IMF meetings includes Al Mashat, Maait, and the Central Bank of Egypt’s governor, Hassan Abdallah.