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Egypt and the EU boost cooperation to ease CBAM’s export impact

Egypt’s Minister of Planning, Rania El-Mashat, met with EU Commissioner for Environment, Water Resilience and Competitive Circular Economy, Jessika Roswall, on the sidelines of the Global Gateway Forum in Brussels. The meeting addressed the implementation of the EU’s Carbon Border Adjustment Mechanism (CBAM) and its potential impacts on the Egyptian economy.

Egypt and the EU boost cooperation to ease CBAM’s export impact

During the meeting, the Egyptian government’s efforts to enhance export competitiveness, improve energy efficiency in the industrial sector, and accelerate the green transition were discussed. El-Mashat highlighted the long-standing economic partnership between Egypt and the EU, emphasizing that Egypt’s new economic model focused on productive sectors aims to mitigate the potential impacts of CBAM.

The minister noted that Egypt is working in coordination with international institutions to provide technical assistance, grants, and concessional financing to reduce industrial carbon emissions and promote green transformation. Within this framework, the Green Sustainable Industries (GSI) program has mobilized EUR 271 million from development partners to reduce industrial pollution, promote renewable energy use, and support sustainable industrial practices.

El-Mashat also mentioned that Egypt is exploring the partnership between the European Bank for Reconstruction and Development (EBRD) and the Green Climate Fund (GCF) to expand private sector financing opportunities. She stated that this cooperation strengthens Egypt’s position as a strategic partner for the EU in green energy and supports the country’s export competitiveness.

The minister further noted that the implementation of Egypt’s National Climate Change Strategy 2050 is being accelerated through the national “NWFE” platform, which aims to promote climate investments in the water, food, and energy sectors.

The meeting was also attended by Ahmed Abu Zeid, Egypt’s Ambassador to Belgium, Luxembourg, the EU, and NATO.

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