State policy, in the field of international cooperation, mainly aims to develop and enhance the Egyptian economic relations with Arab and foreign countries and international organizations.

 

 This is done through signing several bilateral and international agreements providing for financing projects enlisted in the national plan. Salient achievements of the ministry in 2004/05:

 

- Several agreements were signed with our development partners for an amount of $ 2114 million, of which $ 1553 million as grants, $ 561 million as loans. A number of 44 agreements were concluded out of the total agreements. Total financing volume from these agreements reached $ 1795 million. The volume of grants reached $ 1408 million at a ratio of 78.4% of the total finance, while the volume of loans reached $ 387 million at a ratio of 21.6% of the total finance.

- The value of agreements which are currently being ratified reached $ 319.8 million, of which $ 145.6 million as grants, $ 174 million as loans.

- As an implementation of the state's policy and directions of political leadership. This period is characterized by an increase in the volume of grants, decrease in the volume of loans, with commitment to the permitted loan ceiling.

In 2004/05 most state ministries benefited from providing foreign investors to finance social and economic development programmes. The aim of all these projects financed by this agreement is to create job opportunities for the Egyptian youth.

- US Economic Aid Programme finance projects that support small and medium size enterprises, crafts and woman through several agreements signed successively in 1988, 1991, 1998. These projects are now being gradually implemented in several governorates by a group of societies registered in Ministry of Social Affairs. These agreements are as follows:

- Credit agreement of small size enterprises and crafts for an amount of $ 44 million.

- Credit agreement of small size enterprises for an amount of $ 35 million.

- Agreement of supporting small enterprises for an amount of $ 86.6 million.

- The ministry coordinated with Ministry of Agriculture in agreement with the International Food Programme to provide a meal for 11 million child in several primary stages education.

- Activating the joint supreme committee role with several Arab and African countries and giving a push to the strategic Cooperation relations with countries as sudan and Ethiopia.

- Openning communication channels with all elements of Asian, African and Latin diplomatic existence in Egypt to activate economic cooperation relations with such continents. The countries which have political and economic weight as Japan and China are given a special priority.

- The ministry, through secretariat of the Egyptian-European participation, presented a comprehensive Egyptian stance during the consultative meeting with the European side regarding the new neighbour policy. Commencement was reported in preparing projects to benefit from institutional capabilities elevating programme financed by European union for an amount of 25 million euro expected to rise.

 

($ million)

 

	Finance Source	Total agreements	Grant value		kind		Total
			grants	loans	Protection and encouragement	Technical cooperation
1     2   3   4   5   6   7   8   9  10      11  12        13    14	United states of America Japan Mangolia Canda Burkina Faso European Society Finland Germany International Bank International Fund for Agricultural Development Kuwaiti Fund Arab Fund for Economic and Social Development Islamic Bank for Development Opec Fund	15   4 2 1 1 8 2 1 2 1     2 2       1   2	796.512   48.100 -- 15.200 -- 522.343 2.042 20.552 0.711 0.711     -- 1.419       0.411   --	--   57.00 -- -- -- -- -- 116.661   20.000       --     155.00 --       --   38.00	--   -- 1 -- -- -- -- -- -- --     -- --       --   --	--   -- 1 -- 1 -- -- -- -- --     -- --       --   --	796.512   105.100 -- 15.200 -- 522.343 2.042 137.213  20.711 0.711     155.00 1.419       0.411   38.00
	Total	44	1408.001	386.661	--	--	1794.622

 

·        Grant percentage 78.4 percent of the total finance volume

·        Loans percentage 21.6 percent of the total finance  

 

($ million)

Beneficials	Loans	Grants	Total	Agreements number
1- Several authorities 2- Private sector 3- Ministry of Housing and utilities 4- Ministry of Agriculture 5- Ministry of Justice 6- Ministry of Health and population 7- Ministry of Finance 8- Ministry of Higher Education and Education 9- Ministry of Water Resources and Irrigation 10- Airports Holding Company 11- Social Fund for Development 12 Alexandria governorate 13- National Council for Motherhood 14- Ministry of Industry and Foreign Trade 15- Ministry of Electricity and Energy 16- Central Bank and Money Market Institution 17 Ministry of Investment	116.661 -- -- -- -- --   -- 20.00   --   57.00 66.00 --   -- --   127.00   --   --	820.967 200.000 33.450 28.629 6.1 71.779   7.247 34.423   18.511   -- 37.132 1.8   24.868 00.495   --   19.4   103.2	937.628 200.000 33.450 28.629 1 71.779   7.247 54.423   18.511   57.00 103.132 1.8   24.868 00.495   127.00   19.4   103.2	12 1 4 4 1 2   1 3   2   1 3 1   2 1   3   1   2
Total	386.669	4408.001	1794.662	44

 

 

 

One of the most important projects financed by the united states is developing educational sector, improving health sector, family planning, protecting environment and increasing agricultural exports. Besides, completing water and sanitary drainage projects in Egyptian governorates. Accounts of supporting the state general budget were provided to allocate civil committees, implement several development projects and buy medical and scientfic equipments for different hospitals.

The Bank participated in financing several projects. A loan of 60 million Euro was allocated to the National Bank of Egypt and Exports Development Bank to support private sector. Also several contracts were signed to finance several enterprises which are Natural Gas liquefaction complex in Damietta for an amount of 188 million Euro, project of talkh and Kuraimat electricity stations for an amount of 160 million Euro and buying 4 Airbus aeroplanes for an amount of 280 million Euro.

Italian government participated in financing a number of projects in accordance with memorandum of understanding signed in July 25, 2005 that allows a 55 million Euro facilation loan used as credit line to support the Egyptian private sector small and medium industry.  Also several executive agreements were signed through exchanging part of the Italian debts at a total amount of LE 173.412 million.

- Developing early childhood for an amount of LE 1.9 million.

- Improving living standard of people of special needs for an amount of LE 2 million.

- Creating sustainable job opportunities to limit poverty, unemployment in Al-Minya governorate for an amount of LE 2 million.

- Supporting the infrastructure to manage the external usage for an amount of L.E 0.311 million.

- Pioneer project for the intiative green passage for an amount of LE 902.1 million.

Allowance of grant of Swedish Aid Agency for an amount of 4.6 million Swedish Krona to implement the first part of second stage regarding Karnak and Luxor temples rescue project as a completion to the contract signed in 1999. 

- Supporting primary education in Qena, Sohage and Assuit governorates.

- Preparation of an integrated information network.

- Establishing the national network for Nile water treatment, Canals, drainages, and ground water.

Technical grant was allowed to finance the establishment of a computer center for textiles designing and technology at the Faculty of Applied Arts. Also technological support center for furniture industry in Damiettee was established.

A grant was allowed to the Ministry of Agriculture for an amount $ 500.000 to combat locusts.