Egypt’s banking sector, led by the Central Bank of Egypt (CBE), is accelerating efforts to integrate sustainable finance into the nation’s economic framework, reinforcing its role in advancing the country’s Sustainable Development Goals (SDGs) and Vision 2030. Banks across Egypt are expanding financial services that prioritize environmental and social considerations, aligning with global sustainability objectives.
The CBE has been at the forefront of promoting sustainable finance, urging banks to allocate funds toward projects that foster both economic growth and environmental responsibility. Key areas of focus include financing renewable energy initiatives, waste recycling programs, and micro, small, and medium-sized enterprises (MSMEs). Additionally, banks are introducing financial products tailored to underserved communities, including low- to middle-income citizens and Persons with Disabilities (PWDs).
As part of Egypt Vision 2030 and the United Nations’ SDGs, Egyptian banks have rolled out over 24 specialized financing programs within the environmental and social sectors. These initiatives span a range of industries, including energy efficiency, renewable energy, agriculture, healthcare, and digital transformation.
Currently, 31 banks have introduced financial products designed to enhance economic resilience, drive job creation, improve the business climate, and foster entrepreneurship. Several of these initiatives also emphasize social equity, furthering financial inclusion and supporting marginalized groups.
Egypt’s banking institutions have significantly contributed to 12 of the UN’s SDGs, with targeted efforts in financial inclusion. These efforts include tailored banking products for vulnerable communities, specialized financing for farmers and small-scale agricultural enterprises, and accessible services for PWDs—supporting the global goal of reducing inequalities. To promote quality education, banks have launched financing solutions for tuition fees, while gender-focused financial products aim to empower women entrepreneurs and promote gender equality.
To support environmental sustainability, banks have introduced green finance programs and green bonds, reinforcing their commitment to clean energy and climate action.
Additionally, Egypt’s banking sector has aligned itself with the Principles for Responsible Banking, issued by the United Nations Environment Programme Finance Initiative (UNEP FI). Currently, 75% of the sector’s total portfolio complies with these principles, demonstrating a strategic alignment with global SDGs. These guidelines help banks manage environmental and social risks while fostering responsible customer engagement and driving long-term economic growth.
Recognizing Egypt’s progress in sustainable finance, the Sustainable Banking and Finance Network (SBFN)—an initiative under the International Finance Corporation (IFC) and part of the World Bank Group—elevated the country’s rating in 2024 from “Developing” to “Advancing.” This marks the fourth improvement in Egypt’s ranking since joining SBFN and reflects the nation’s progress in establishing sustainable finance frameworks that align with international best practices.
SBFN, a global network representing 72 countries and 96 regulatory and governmental entities from emerging markets, plays a crucial role in integrating sustainability principles into financial systems. By adhering to these principles, Egypt’s banking sector is not only bolstering financial stability but also advancing long-term sustainable development.
With an unwavering commitment to responsible finance, Egypt’s banking sector continues to be a driving force in fostering a more resilient, inclusive, and environmentally conscious economy for future generations.
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