Egypt, Germany ink debt swap agreement

Egypt, Germany ink debt swap agreement

The German Development Bank (KfW), on behalf of the German Federal Ministry for Economic Cooperation and Development (BMZ), has signed a €54 million debt swap agreement with Egyptian Ministries of International Cooperation and Electricity and the Central Bank of Egypt (CBE), according to a statement by the German embassy in Cairo on June 25th. The agreement exempts Egypt from repaying debts of €54 million to instead use this amount in financing the transition to green energy. The debt swap will support the Egyptian government to achieve its goal of generating 42% of electricity from renewable sources by 2030. During the COP27 held in Sharm El-Sheikh in November 2022, the German government pledged to highly contribute to Egypt's Nexus on Water, Energy, and Food (NWFE) program. Accordingly, Germany provided a financing package of over €250 million, including debt relief, grants, and concessional loans. Copyright © 2022 Arab Finance Brokerage Company All rights reserved. Provided by SyndiGate Media Inc. ( Syndigate.info ).