Cairo – Mubasher: The Egyptian Minister of International Cooperation, Rania El-Mashat signed on Sunday a development financing agreement with the African Development Bank (AfDB) worth EUR 145 million ($176.6 million).
The agreement aims at improving the efficiency and safety factors in Egypt’s railway system, by extending the use of the European Train Control System (ETCS-L1), as well as providing an additional 100 wagons using the ETCS.
Signing the agreement was in the presence of Lieutenant General Kamel El-Wazir, the Egyptian Minister of Transportation; Malinne Bloomberg, AfDB’s Country Manager in Egypt; as well as railway authority officials and the working groups of both ministries.
“The development financing secured for the transportation sector from development partners supports the Government of Egypt’s plans to both develop the transport sector, and work towards achieving the Sustainable Development Goals (SDGs),” El-Mashat said.
El-Mashat explained that the transportation sector accounts for more than 20% of the ongoing development cooperation portfolio of the Ministry of International Cooperation, with a value of $5.13 billion.
This is AfDB's first contribution in the transportation sector, according to the ministry’s statement.
Meanwhile, El-Wazir said that “the signing comes within the framework of the political leadership’s directives to develop the existing railway network and finalise the signalling and communication systems across various lines to ensure safety and security.”
AfDB’s Country Manager in Egypt, Malinne Bloomberg, said: “The new project strengthens the partnership between the AfDB and Egypt in the transport sector and provides 1,200 job opportunities.”
The development agreement includes the instalment of the ETCS on old trains, covering the provision of 260 wagons, of which 110 were supplied and are eligible for utilising the management system.
The current development cooperation portfolio with the AfDB amounts to $641 million, covering many sectors such as agriculture, transportation, water treatment, scientific research and entrepreneurship, according to the Ministry of International Cooperation, which secured development financing agreements worth $9.8 billion with multilateral and bilateral development partners in 2020, from which $1.79 billion was directed to the transportation sector.
Furthermore, the Ministry of International Cooperation says it is focused on developing and strengthening economic cooperation between Egypt and international and regional organisations and providing funds for various development projects that pave the way towards achieving Egypt’s 2030 Vision, pointing to efforts to support the Ministry of Transportation’s plans to modernise the railway system.
