The total amount of ongoing EU assistance to Egypt channelled through the bilateral envelope amounts to €1.3 billion. All EU assistance to Egypt is provided in the form of grants.
Under the general bilateral framework of the Association Agreement and the Action Plan with the Arab Republic of Egypt, the EU works together with the government, public institutions and civil society to support democratisation and socioeconomic development by funding programmes and projects in many areas such as: Health, Education, Economic Development, Trade, Water, Transport, Science, Research and Innovation, Information Society; Social, Rural and Regional Development; Human Rights, Justice and Good Governance; Energy, Environment and Culture.
For the period 2014-2020, the new European Neighbourhood Instrument (ENI) is the main financial instrument for EU cooperation with Egypt. The European Neighbourhood and Partnership Instrument – known as the ENPI – is the main financial mechanism of technical and financial cooperation with Egypt. Its three main priorities are: (i) support to political reform and good governance, (ii) competitiveness and productivity of the economy and (iii) socio-economic sustainability of the development process. The overall budget allocation for bilateral EU assistance to Egypt under the ENPI for 2011-2013 is €449.29 million, and the total allocation to Egypt for 2007- 2013 is over € 1 billion.
In the framework of the ‘Memorandum of Understanding regarding the EU's Single Support Framework 2014-2015’ for Egypt, the following three priority sectors, with an indicative allocation range of €210 – €257 million, had been agreed:
- Governance, transparency and business environment (including complementary support in favour of civil society and of EU agreements)
- Poverty alleviation, local socio-economic development and social protection
- Quality of life and environment
The Single Support Framework 2014-2015 is currently being extended by one year to cover 2016.
In addition to bilateral EU funding, Egypt also benefits from EU multi-country co-operation instruments and programmes like the EU Neighbourhood Investment Facility (NIF), Cross Border Co-operation Instrument (CBC), Erasmus+, and a wide range of regional programmes.
Targeted technical assistance and peer-to-peer public sector cooperation is provided in many policy areas through a mix of specialised EU instruments, including Twinning operations, the Support for the Improvement in Governance and Management (SIGMA), and the Technical Assistance and Information Exchange (TAIEX).
In addition to providing regional and country-based approaches to development, the EU operates programmes with a specific thematic focus on: Democracy and Human Rights, Environment and Sustainable Management of Natural Resources, Non-State Actors and Local Authorities in Development, Investing in People and Migration and Asylum.
The EU Instrument contributing to Stability and Peace (IcSP) is also available in Egypt as a strategic tool designed to address a number of global security and development challenges in complement to geographic instruments.
The EU supports inclusive and cooperative management of the Nile Basin for all Nile countries
On August 8, 2017 the EU adopted a financing decision on the programme for Transboundary Water Management in the Nile River Basin which aims at enhancing cooperation between all Nile riparian countries, with a view to helping them achieve their shared vision of sustainable development through the equitable use and benefits sharing of the basin waters.
To achieve this goal the programme will assist in developing mechanisms for cooperative and knowledge-based water management, to avoid conflicts and sustain the common resource and it will also enable cooperative investments in water, energy and food security, to fully unlock the potential of the basin. Furthermore it will enhance the capacity of an all-inclusive Nile Basin Initiative to build consensus amongst riparian states on the sustainable and cooperative management and development of the basin's water resources, taking account of the water, energy and food security nexus.
The programme will be implemented by the German cooperation agency GIZ and is to be financed with a € 10 million grant from the European Development Fund and a € 3.5 million contribution of the Government of Germany.