EIB: Egypt and EU invest €690 million to modernise Egypt's electricity grid
- Financing package: €600m EIB Global loan plus up to €90m in European Commission grants, totaling up to €690m.
- Project target: integrate 22 GW of renewable capacity into the national grid by 2030, roughly powering 10 million households.
- Implementation: EETC will lead delivery, the government borrows via the Central Bank of Egypt; EIB‑supported phase runs 2027–2030.
- Works include new substations and advanced transmission lines to connect generation in the Red Sea and Gulf of Suez; EU funds cover 44% of the programme cost.
Deal overview
The European Investment Bank’s development arm, EIB Global, will provide a €600 million loan alongside up to €90 million in European Commission grants to upgrade and expand Egypt’s electricity network, a combined package of up to €690 million.
Scope and targets
The programme aims to integrate 22 GW of solar and wind capacity into the national grid by 2030, equivalent to supplying about 10 million households, and to reduce transmission losses while improving reliability and energy security.
Implementation and financing
The Egyptian Electricity Transmission Company (EETC) will lead implementation; the government will act as borrower through the Central Bank of Egypt. The EIB‑supported phase is scheduled for 2027–2030. EU financing represents 44% of the programme cost, with the remainder provided from EETC’s own funds.
Infrastructure and regional impact
Planned works include construction of substations and installation of advanced transmission lines to integrate generation from the Red Sea and Gulf of Suez. The project is an early operation under the Trans‑Mediterranean Renewable Energy and Clean‑Tech Cooperation Initiative (T‑MED) and is intended to strengthen Egypt’s role as a regional clean‑energy hub and enable future electricity cooperation across the Mediterranean.
Source: EIB