The European Investment Bank (EIB) and Alexbank, a subsidiary of the Intesa Sanpaolo group, have unveiled a new $15m tranche of renewable and efficiency financing under the Egypt-Green Economy Financing Facility (GEFF). The initiative is designed to promote economic modernisation and environmental sustainability through targeted green investment by Egyptian businesses.
The financing scheme was formally announced during the “Europe – Egypt Energy Connectivity Event” at the Embassy of Sweden in Cairo, with a range of officials and business leaders in attendance, including Tarek El-Molla, the Minister of Petroleum and Mineral Resources; Rania Al-Mashat, the Minister of International Cooperation; Christian Berger, the ambassador of the EU Delegation; Håkan Emsgård, the Swedish ambassador; Mathew Baldwin, the Deputy Director of the EU Commission; Gelsomina Vigliotti, Vice President of the European Investment Bank; and Dante Campioni, Managing Director and CEO of Alexbank.
The new financing will enable Egyptian SMEs to enhance their efficiency and investments in renewable energy across industrial, commercial, and agricultural sectors. The funding supports the framework agreement signed between the Egyptian government and the EIB to promote development cooperation, job creation, and private sector growth. The funds are also critical to accelerate the adoption of ESG principles by the private sector.
Gelsomina Vigliotti, Vice President of the EIB, said the partnership with Alexbank will enable Egyptian businesses to embrace green energy, cut energy bills, and contribute to climate action. The initiative supports Egypt's 2030 sustainable development strategy and the recently launched industrial development strategy.
Dante Campioni, Managing Director and CEO of Alexbank, emphasised the crucial need to safeguard the environment and invest in renewable and energy-efficient solutions. The new financing aligns with ESG targets, including sustainable energy availability, access to climate change solutions, and financial inclusion, while supporting industrial investments with attractive financing solutions.
The $15m EIB framework loan agreed with Alexbank is part of the broader GEFF, providing financing for business investment through local financial partners. The initiative enables Egyptian companies to reduce energy and water consumption, improve product quality, and increase competitiveness, as announced during the Egypt – Europe Energy Interconnectivity dialogue. The GEFF initiative provides finance and best-practice advice to help the private sector improve competitiveness.
The new financing scheme, jointly backed by the EBRD, is supported by the European Union through a Neighbourhood Investment Facility grant to incentivise uptake and provide technical assistance to support identification, evaluation, and monitoring of eligible investment projects.
