Egypt’s Minister of Finance, Ahmed Kouchouk, delivered a compelling vision for sustainable development at the Africa Grows Green Climate Finance Forum held on May 20, 2025. Emphasizing the pivotal role of the private sector, Kouchouk outlined Egypt’s ambitious strategy to bridge the climate finance gap, localize renewable energy production, and position the country as a hub for green manufacturing and exports in Africa.
Private Sector as the Engine of Green Transformation
“The private sector is our most practical and successful bet to close the funding gap between our capabilities and aspirations,” Kouchouk declared, highlighting the diverse and incentivized opportunities available for private investment in Egypt’s green economy transition. The government has rolled out an ambitious plan to attract private capital into new and renewable energy projects by 2030, aligning with Egypt’s Vision 2030 for sustainable development.
Kouchouk emphasized the localization of production inputs for renewable energy industries, supported by a clear and attractive vision for both local and international investors. “We aim to transform Egypt into a regional center for green manufacturing and exports to Africa,” he said, noting that additional incentives are being introduced to create a comprehensive ecosystem for green investments.
Innovative Financing and Debt-for-Investment Swaps
The minister underscored the critical role of innovative financing mechanisms, including debt-for-investment swaps and integrated, sustainable funding models, in achieving Egypt’s developmental goals. “Converting debt into investments is a decisive factor in our strategy,” he said, highlighting Egypt’s commitment to restructuring financial tools to be more responsive to private sector needs.
The 2025/2026 budget reflects this priority, with increased allocations for green projects that drive developmental impact. Kouchouk noted that sufficient funding has been earmarked to support investment incentives and the shift to cleaner, more efficient energy sources. “We are embedding climate and sustainability into our fiscal policies to achieve tangible progress,” he added.
Proactive Risk Management and Sustainable Policies
Addressing the urgency of climate action, Kouchouk emphasized that time is a critical factor in public finance management. “We adopt a forward-looking, inclusive vision, proactively identifying and addressing fiscal risks, including those posed by climate change,” he said. The ministry conducts annual comprehensive studies to mitigate these risks, ensuring Egypt’s financial resilience.
Egypt’s green financing strategy leverages both domestic and international tools, including green bonds and climate-focused investments. The minister reaffirmed the country’s commitment to its ongoing journey toward sustainable development, with a focus on integrating climate considerations into fiscal policies to drive a “quantum leap” in environmental and economic outcomes.
Regional Leadership in Climate Finance
Africa Grows Green* forum, hosted in Egypt’s New Administrative Capital, highlighted the country’s leadership in mobilizing climate finance. Discussions centered on innovative funding mechanisms to support scalable projects, aligning with broader African efforts to address climate change. Egypt’s experience with programs like NWFE, which mobilizes climate financing and private sector investment for mitigation and adaptation projects, was showcased as a model for regional collaboration.
Kouchouk’s remarks built on Egypt’s broader economic achievements, including a record primary surplus in the first 10 months of the fiscal year and a rise in private sector investments to 60% of total investments, signaling a robust shift toward a private sector-led economy.
