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Egypt’s economic growth rate exceeded 5% during the first quarter of the current fiscal year, Planning, Economic Development, and International Cooperation Minister Rania Al-Mashat said.

The announcement followed the disbursement of a €1bn tranche in January 2026 under the European Union’s Macro-Financial Assistance (MFA) program.5 During a meeting with EU Ambassador Angelina Eichhorst, Al-Mashat confirmed that the ministry is currently coordinating with national authorities to implement reforms required for the second and third tranches of the program, which are scheduled for disbursement later in 2026.

Al-Mashat stated that the 109 policy measures and procedures implemented under the MFA mechanism are a “central part of the national structural reform program.” She described the recent funding as “international testimony of confidence” in the structural reforms implemented by the state and a reflection of the strategic relationship between Egypt and the EU.

The minister noted that the growth rate reflects increased contributions from productive sectors, led by industry, telecommunications, information technology, and tourism.

She added that indicators for private investment and exports have also improved, which she said demonstrates the success of policies aimed at achieving sustainable and inclusive growth while enhancing the economy’s resilience against regional and international shocks.

The discussions with Eichhorst focused on the economic pillar of the Egypt-EU strategic and comprehensive partnership, including development grant priorities for the 2026-2027 period.

The two officials also discussed expanding innovative and mixed financing mechanisms for both domestic and foreign private sectors.

Al-Mashat reviewed the “National Narrative for Comprehensive Development,” which serves as the framework for the state’s efforts to promote sustainable growth through human development investment, structural reforms, and the increased role of the private sector. The framework also aims to improve the efficiency of public investment and link planning with financing and monitoring.

Al-Mashat concluded the meeting by stating the government’s intent to build on current results to support sustainable development and mutual confidence in the path of economic reform.

Source: Daily News Egypt