December 15, 2024 – On behalf of the German Federal Ministry for Economic Cooperation and Development (BMZ), and in the presence of H.E. the Minister of Planning, Economic Development, and International Cooperation, Dr. Rania Al-Mashat, and H.E. the Ambassador of the Federal Republic of Germany, Mr. Juergen Schulz, the German KfW Development Bank, and GIZ Egypt signed today in Cairo Financing and Technical Agreements for three projects.

GIZ Egypt and the Ministry of Education and Technical Education (MoETE) signed today a technical agreement, for a Project Implementation Contract (PIC).

• The project “Technical Support for the Comprehensive Technical Education Initiative with Egypt – Phase II” (TCTI II) with a commission value of 16.31 million Euros.

The objective of the second phase of this project is to enhance the efficiency, quality, and relevance of Egypt’s technical education system. Running from 2024 to 2028, this project is considered a critical component of the Egyptian-German “New Comprehensive TVET Initiative” (NCTI), a long-term collaboration established in 2018.

Activities will include the development of digital financing planning and monitoring mechanisms to ensure effective resource allocation and sustaining of the TE 2.0 reform strategy. This involves establishing reliable, quality-assured assessment and certification processes to align student skills with national and international labour market requirements and the implementation of evidence-based planning systems in technical schools to address current and future workforce demands.

Additionally, innovative digital learning methods will be introduced to promote equal access to technical education and expand opportunities, particularly for female students in selected fields.

Following financing agreements were signed by Dr. Rania Al-Mashat and the Central Bank of Egypt:

• The project “Financial Support for the Comprehensive Technical Education Initiative – Phase II” (FCTI-II), signed together with the Ministry of Education and Technical Education (MoETE). KfW County Director Dr. Christoph Schäfer signed for the German side. The German contribution in form of an investment grant amounts to 32 million Euros.

The objective of the project, as the second phase of a three-phase thematic programme, is to improve the quantitative and qualitative offer of Technical and Vocational Education and Training (TVET) in Egypt. The grant funds will finance green buildings (construction and/or rehabilitation) and equipment for the establishment of up to three Centers of Competence (CoC). The CoCs will operate in close cooperation with private sector companies and will therefore offer students a highly practical technical and vocational education aligned with labour-market needs. Each CoC will have a specific sectoral focus and will provide a three-year general educational module, along with a two-year module for further specialisation. The CoCs will also serve as knowledge hubs for affiliated TVET schools, which will benefit from rehabilitation and equipment.

Egypt counts on a highly skilled workforce: The TVET system plays an important role in economic growth and employment promotion. For many years, German Development Cooperation has successfully supported Egypt in implementing its Technical Education 2.0 Strategy by improving infrastructure and enhancing the educational offer through technical assistance. Innovative and sustainable project solutions that take gender and environmental aspects into account are the intended goals of the German Development Cooperation through GIZ and KfW with the Government of Egypt when planning, financing, and implementing projects in the TVET sector. The long-standing Egyptian German development cooperation in the TVET sector has reached a volume exceeding 200 million euros.

The project “Strengthening national capacity for quality education and health/nutrition services for social cohesion and resilience among crisis-affected populations and their host communities”, signed together with the Ministry of Social Solidarity (MoSS), the Ministry of Health & Population (MoHP), the Ministry of Education and Technical Education (MoETE), the United Nations Children’s Fund (UNICEF) and the World Food Programme (WFP). The German contribution in form of a debt swap amounts to 29 million Euros.

The objective of the project is to improve access of approximately 600.000 non-Egyptians and host community members including pregnant and lactating women and children under 2 years of aid to food and quality basic services using a Humanitarian -Development Peace Nexus approach (14,8 million indirect beneficiaries). Activities will include the provision of nutritious snacks to schoolchildren, improvement of WASH infrastructure in schools, conditional cash-based transfers, improvement of professional skills and entrepreneurship promotion, capacity building, and social behaviour change communication. Targeted areas include – but are not limited to – Greater Cairo, Upper Egypt, and the Northern coast of Egypt.

The reduction of the external debt is of high importance to the Government of the Arab Republic of Egypt. The German Development Cooperation through KfW contributes to this target with debt swap agreements. Since 2004 bilateral debt swaps worth around 484 million Euros have been agreed to support the development of the sectors water/ sanitation, renewable energies, and strengthening of the resilience of populations and communities in Egypt.