Cairo, December 6 2015 - The French Ambassador to Egypt, Mr. Andre Parent, the Egyptian Minister of Agriculture and Land Reclamation, Dr. Essam Fayed, and the Head of Operations of the Delegation of the European Union to Egypt, Mr. Diego Escalano-Paturel, attended the signing of a grant agreement of 22 million Euros between the Agence Française de Développement (AFD), represented by Mrs. Stéphanie Lanfranchi,
Director of the AFD Cairo office and the Egyptian Minister of International Cooperation, Dr. Sahar Nasr. The grant originates from the European Union (EU) and has been delegated to AFD. It will be implemented by the Ministry of Agriculture and Land Reclamation (MALR).
The project aims at aims at increasing the income of agricultural stakeholders by facilitating access to credit and integrating the benefits of the agricultural sectors. The contribution to this project in the form of an EU donation is essential to strengthen the capacities of the different actors of the agricultural sector, especially in dairy and marine aquaculture sectors. This grant will also allow the development of an innovative guarantee scheme, the first Trust Fund entirely dedicated to the agricultural sector in Egypt. Together with the MALR, the Commercial International Bank (CIB), and the Credit Guarantee Company (CGC) will be strongly involved in the credit line and the guarantee scheme implementation.
This project is expected to benefit more than 400 agricultural SMEs and participate in the creation of 20 000 direct and indirect jobs. The guarantee fund, used as collateral for the credit line, is expected to reach more than 16,000 beneficiaries over 7 years.
Through the signing of this Grant Financing Agreement, which constitutes the final step before starting the implementation of this Project, France and the European Union, confirm their commitment to support the Government in developing the agricultural sector in Egypt.