The European Union will deepen its partnership with Egypt by announcing a new €75 million financial aid package that will be announced at a formal high-level EU–Egypt summit in Brussels on Wednesday. This support will aim to promote socio-economic development, enhance resilience, and support inclusive growth focused on improving access to health care, education, water and sanitation, particularly for women and youth.
The grant will be part of the EU’s broader macro-financial framework of €7.4 billion (2024-2027), indicative of the bloc’s long-term commitment to strengthening the Egyptian economy and stability despite human rights concerns. Additional loans are also likely to be announced at the summit with European Commission President Ursula von der Leyen, European Council President António Costa, and Egyptian President Abdel Fattah el-Sisi in attendance. The declaration follows Egypt’s latest diplomatic effort to mediate a ceasefire in Gaza and organize an international peace conference with leaders from the US and Europe, including President Donald Trump. The EU sees Egypt as a key partner to maintain stability, trade, and migration management.
However, experts are cautioning that the military-led economy in Egypt still has obstacles to sustainable economic growth and reforms are going slowly. Political analysts urge European leaders to condition future cooperation on economic and governance reforms. The EU’s engagement with Egypt displays both strategic necessity and cautious optimism that they can balance political stability with necessary reforms to confront mounting economic difficulties and the growing restiveness of the youth population.
