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Egypt and Germany Sign €100 Million Debt Swap Deal to Support National Development

Cairo, August 2025 — Egypt and Germany have signed a new €100 million debt swap agreement, marking another significant step in their long-standing development partnership. With this deal, the total value of debt swaps between the two countries now stands at €340 million, according to Egypt’s Ministry of International Cooperation.

Turning Debt into Development

Debt swaps allow countries to redirect part of their external debt toward local projects. Instead of making debt payments abroad, Egypt will use these funds to invest in areas such as education, healthcare, infrastructure, and climate projects—all key parts of the country’s national priorities.

The new funding will be delivered in two phases:

  • The first €50 million in December 2025

  • The second €50 million in June 2026

This phased structure ensures consistent, predictable support for long-term projects, particularly in underserved regions where development needs are most urgent.

Fortec Egypt Supports the Vision

At Fortec Egypt, we view this agreement not simply as a financial mechanism, but as a strategic milestone in the evolution of Egyptian-German cooperation. Our company’s work in smart infrastructure, renewable energy, and digital systems directly aligns with the sectors this deal aims to strengthen.

“This is more than just a financial arrangement,” said Country Manager Haitham Fouad. “It’s a sign of lasting cooperation between two countries—and it creates real opportunities for companies like ours to support Egypt’s energy and digital transformation.”

Backing Egypt’s Green Energy Transition

Germany’s role as a consistent partner in Egypt’s energy transition is further highlighted through its broader support. In addition to the debt swaps, Germany has contributed more than €258 million in grants and soft loans to help modernize Egypt’s electricity grid and promote renewable energy adoption. Much of this support contributes to Egypt’s Novi platform, launched at COP27, which aims to deliver 10 GW of green energy by 2028.

Fortec Egypt remains an active contributor to these goals, offering smart solutions that help scale energy access, modernize infrastructure, and build climate resilience.

Focusing on Egypt’s Priorities

Egypt’s Minister of International Cooperation, Dr. Rania A. Al-Mashat, highlighted that every project under the debt swap is chosen based on Egypt’s own development plans. The key focus areas include:

  • Expanding technical and vocational education

  • Improving healthcare infrastructure

  • Building climate-resilient energy and transport systems

This ensures that international partnerships serve local needs—delivering real value and measurable outcomes.

A Broader Economic Partnership

Beyond the development agenda, the agreement also reflects the strength of the broader economic relationship between Egypt and Germany.

  • Over 1,400 German companies are currently active in Egypt

  • Bilateral trade exceeded €7 billion

  • Germany and Egypt share a dynamic commercial landscape supported by technology transfer, industrial cooperation, and a growing emphasis on sustainable innovation.

For Fortec Egypt, this climate of economic partnerships opens new avenues to collaborate on smart grid solutions, energy-efficient infrastructure, and digital transformation across industries.

Looking Ahead

This latest debt swap agreement reflects Germany’s trust in Egypt’s development journey and its readiness to invest in the country’s future. At Fortec Egypt, we are proud to contribute to this shared vision—building sustainable, tech-driven solutions that serve both national goals and global standards.

For media inquiries or partnership opportunities, please contact the Fortec Egypt Communications Team.



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