Egypt’s GSI program to boost green industry investments by 150 million euros

19 / 05 / 2023

By Marwa Nassar - -

Egypt’s green sustainable industry (GSI) program – due to be launched before the end of the year – will boost investments for supporting green industry and environment adaptation by 150 million euros.

Environment Minister Yasmine Fouad said she is looking forward to finalizing preparations for approving the GSI program.

The program will also contribute to promoting sustainable development in Egypt through offering financing packages – at 268 million euros – for industrial facilities in the public and private sectors to bankroll green projects, such as resources efficiency, recycling and clean energy projects, especially intensive-energy industries.

She made the remarks on Thursday during a video-conference meeting with Vice President of the European Investment Bank (EIB) Gelsomina Vigliotti.

The talks tackled the latest developments with regard to preparations for implementing the sustainable green industry programs.

The minister commended the deeply-rooted relations with the EIB for supporting environmental work in Egypt, referring to the efforts exerted by development partners for Egypt’s successful host of the 27^th United Nations Climate Change Conference (COP27).

Fouad said she is looking forward to furthering future cooperation to benefit from technical assistance and the bank’s expertise in order to enhance Egypt’s efforts to engage the private sector in environment and climate investments and buttressing Egypt’s march towards green transition.

The minister said Egypt has given a top priority to encouraging green investments over the past few years.

This has prompted the Environment Ministry to launch a new unit for climate and environment investment in order to promote the private sector’s contribution to investments and forging innovative ideas in this regard.

This falls within the framework of the state’s belief in the key role played by the private sector under the national strategy for climate change 2050 in addition to preparation for the green investment forum due to be held in July.

The forum will shed light on promising opportunities for green investment in Egypt, she said, noting that Egypt will hold a week-long events to the World Environment Day in order to shed light on green investment, means of achieving green national industry and stories of success, including an anti-industrial pollution project implemented by the Environment Ministry.

The minister added that she is looking forward to proceeding with fruitful cooperation with the bank to implement the third stage of the Egyptian Pollution Abatement Program (EPAP III).

The main objective of EPAP III is to set a framework for encouraging cleaner production uptake in Egypt by promoting technologies achieving significant pollution abatement in the industry, i.e. control, reduce or prevent anthropogenic emissions, including the greenhouse gas emissions (GHG).

It will also improve the living and workplace conditions. The project will also strengthen the enforcement capacity of the Egyptian Environmental Affairs Agency making it more efficient and help the banks to become more pro-active in the financing of environmental projects thanks to capacity building in order to insure the sustainability of the project.

The minister underlined Egypt’s interest in implementing a new waste management mechanism through issuing the first waste management law in Egypt alongside a tariff for turning waste into energy.

Meanwhile, EIB Vice President Gelsomina Vigliotti lauded Egypt’s support for the coming United Nations Climate Change Conference (COP28) as well as cooperation with Egypt through the Nexus of Water, Food and Energy (NWFE) platform for green energy

She expressed happiness for enhancing cooperation with Egypt in the coming period to implement the Green Sustainable Industry (GSI) program and accelerating preparation for the program in order to launch the program before the end of the year, especially as the bank is ready to offer larger financing packages, particularly in the technical support domain.