Macro-financial assistance to Egypt
TA-10-2025-0049 · P10_TA(2025)0049 · PE765.300
- Adopted in plenary on · Adopted 452–182–40 · See the decision →
- Full procedure 2024/0071
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Parliament's amended version of the proposed decision on providing macro-financial assistance to Egypt, up to EUR 4 billion in concessional loans, subject to conditions on democracy, rule of law, human rights, and economic reforms.¶¶¶ It requires Egypt to make concrete steps towards democratic mechanisms, rule of law, and human rights, and sets conditions in a Memorandum of Understanding, with monitoring and reporting to Parliament and Council.¶ The assistance aims to support socio-economic stabilisation, structural reforms, and mitigate irregular migration, while ensuring transparent management and audit mechanisms.¶¶¶
Key points
- The Union shall provide macro-financial assistance of up to EUR 4 billion in concessional loans to Egypt, subject to approval of the Union budget.¶
- A pre-condition is that Egypt continues concrete and credible steps towards respecting and strengthening democratic mechanisms, rule of law, and human rights.¶
- The Commission and European External Action Service shall monitor the pre-condition and report regularly in writing to Parliament and Council.¶
- Economic policy and financial conditions, including structural reforms and sound public finances, shall be agreed in a Memorandum of Understanding, consistent with IMF programmes.¶
- Conditions shall aim at enhancing efficiency, transparency, accountability of public finance management, and consider mutual market opening, fair trade, sustainable development, good governance.¶
- Disbursement requires satisfactory implementation of economic, financial, democracy, rule of law, and human rights conditions agreed in the Memorandum of Understanding.¶
- If conditions are not met, the Commission shall suspend or cancel disbursement and inform Parliament and Council without delay of reasons.¶
- The Commission may borrow funds on capital markets or from financial institutions, and shall conclude a loan agreement with Egypt, with loans up to 35 years duration.¶¶
- The Union shall ensure effective and independent control and audit mechanisms to prevent misappropriation of funds.¶
- Macro-financial assistance may contribute to the Union's growth and economic resilience.¶
Who is affected
- Egypt: receives up to EUR 4 billion in concessional loans, subject to conditions on reforms, democracy, and human rights.¶¶
- European Commission: responsible for managing assistance, negotiating conditions, and monitoring compliance.¶¶¶
- European Parliament and Council: must approve budget and receive reports on implementation and conditions.¶