(Ecofin Agency) - The World Bank announced it has approved a Development Financing Policy (DFP) loan of $360 million to support the recovery of the Egyptian economy in the post-Covid period.

Called “Egypt Inclusive Growth for Sustainable Recovery,” this financing operation comes in addition to the first set of macroeconomic reforms, which bolstered the country's resilience and improved its fiscal and external accounts during the pandemic.

“One of the key objectives of this operation is making Egypt’s growth more inclusive and more resilient to future shocks, by addressing long term structural challenges and recognizing the pivotal role of women in the country’s economic growth,” said  Marina Wes (pictured), World Bank Country Director for Egypt. The World Bank’s support also seeks to improve job creation in Egypt by improving macro-fiscal sustainability, private sector development, and women's economic inclusion. It will also help build an enabling environment for private sector inclusion for a sustainable economic recovery.

“Structural reform policies are integral to Egypt’s efforts to accomplish a sustainable and resilient economic recovery that enables the economy to weather future shocks,” said Dr. Rania Al-Mashat, Egypt’s Minister of International Cooperation. “This operation will support our efforts to maintain the reform momentum and achieve the milestones necessary for inclusive growth,” she added.

Let’s note that the Asian Infrastructure Investment Bank is planning parallel financing of the same amount to support the Egyptian economy.

Dorcas Loba (intern)