In January 2011, Egypt erupted in large-scale anti-regime demonstrations, resulting in the resignation of President Mubarak and the collapse of the regime that had been in power for 30 years. On June 30 2012, Dr. Mohamed Morsi, the candidate of the Freedom and Justice Party was elected as Egypt’s fifth president and the first from outside the military. On August 12, 2012, President Morsi nullified a declaration issued by the military effectively assuming broad executive and legislative powers. Political tensions mounted starting in June 2013 with demonstrations against President Morsi in the lead up to the first anniversary of his presidency.

President Morsi was removed and interim President Adly Mansour was sworn in on July 4, 2013. Presidential elections were held on June 8, 2014, and Abdel Fattah El-Sisi was elected with almost 97% of the votes, and sworn into office as president on June 8, 2014. Prior to this post, El-Sisi was head of the Egyptian Armed Forces and First Deputy Prime Minister and Minister of Defense in previous governments. Presidential elections were the second of a three step transition. The first step, voting on a new constitution, took place in early 2014. Step three of the transition, parliamentary elections, is scheduled to take place from October to December 2015.

Egypt has made great strides along a number of important human development indicators, but economic growth has been moderate, albeit insufficient to absorb the rapidly growing population and labor force.  Child mortality, life expectancy, primary and secondary school enrollment, and literacy rates have improved dramatically in the past thirty years, while average per capita income growth has been around 2% per year since 1980 resulting in an increase in unemployment rates and poverty rates.  
Starting 2014, the Government of Egypt has initiated reforms to reduce energy subsidies, broaden the tax base, reduce the deficit and improve allocative efficiency, and improve targeting efficiency of social safety nets but more remains to be done.

Last Updated: Sep 16, 2015

The most recent World Bank Group strategy was the Interim Strategy Note (ISN), prepared in 2011 in a context of political and economic instability in Egypt and covering an indicative program of support from June 2012 through December 2013.  The ISN followed an earlier Bank-International Finance Corporation (IFC) joint Country Assistance Strategy (CAS) for the period Fiscal Year (FY) 06-09, which was extended through FY11.  

The Bank team is preparing a Country Partnership Framework (CPF) jointly with IFC and MIGA, drawing on the constraints identified in Bank’s work and in the government’s sustainable development strategy, Egypt’s Vision for the Year 2030. The strategy process was launched on March 5, 2014 with the government and, starting in June 2014, two rounds of face-to-face consultations were held in Cairo, Alexandria and in Aswan with civil society, youth, academia, the private sector, and the donor community in addition to a round of online consultations.

The CPF will focus on key drivers for achieving the twin goals of enhancing shared prosperity and reducing extreme poverty: private sector job creation and spatial integration; service delivery, especially to the poor, and social protection and good governance. The focus areas will be elaborated following the completion of parliamentary elections in Egypt.
Egypt is eligible for lending from the International Bank for Reconstruction and Development (IBRD). As of August 31, 2015, the active WBG portfolio consisted of 18 IBRD projects, 4 GEF operations, and 5 recipient executed trust fund for a total commitment of about US$6.47 billion.

Last Updated: Sep 16, 2015

Access to Finance for Micro and Small Enterprises Project

More than 75,000 loans have been disbursed to Micro and Small Enterprises (MSEs), leading to the creation of over 130,000 job opportunities. Importantly youth between the ages of 21 to 35 represented 60% of all microfinance lending. There was also an increase in the number of female-owned MSEs from 4,573 to 20,536 from June 2012 to June 2013 as a result of the project.

Labor Intensive Public Works Program

The project reached more than 3,000 beneficiaries of which 67% were female, 80% came from Upper Egypt, and 82% youth. A multi-sector team provided technical advice to the government on subsidy reform and cash transfers and supported the establishment of an inter-ministerial technical working group to design a cash transfer program.

Energy projects

The fast track power generation program (2,100MW) was one of the main drivers for bringing installed capacity to a total of 29,000 MW. From FY06 to FY13, the World Bank supported four gas-fired generation plants (El Tebbin, Ain Sokhna, Giza North and Helwan South) and supported a program of renewables. A natural gas project has connected more than 365,637 households representing 15% of connected households in Cairo and Giza governorates. More than 90,000 low income households have been connected to the gas distribution network and more than 3,000 jobs were created, mainly in network installation and maintenance.

Water, Sanitation and Irrigation

Improved irrigation and drainage services were provided to over 300,000 farmers. 1,465 water user associations (WUAs) were established and Egypt’s first waste water PPP was successfully completed in cooperation with IFC.
Investment support: The Multilateral Investment Guarantee Agency reinsured the United States Overseas Private Investment Corporation’s coverage of Apache Corporation’s investments in its subsidiaries in Egypt.




Last Updated: Sep 16, 2015


Egypt: Commitments by Fiscal Year (in millions of dollars)*

*Amounts include IBRD and IDA commitments