Egypt’s Finance Minister Mohamed Maait emphasized the need for innovative, non-traditional, and low-cost development financing tools that are tailored to the specific needs of low- and middle-income countries.

He stressed the importance of strengthening multilateral development cooperation to bridge the financing gaps faced by emerging economies.

Maait’s remarks came during a meeting with Jingjing Wang, the CEO of the Multilateral Cooperation Center for Development Finance (MCDF), on the sidelines of the Islamic Development Bank’s annual meetings in Riyadh.

The minister highlighted the need for mechanisms and tools that are more cost-effective, adaptable to global crises and their negative repercussions, and flexible in dealing with internal and external shocks. These measures, he explained, would help alleviate the immense financial pressures on developing countries’ budgets, particularly amid escalating geopolitical tensions.

Maait expressed Egypt’s aspiration for a more prominent role for the MCDF in supporting the country’s development journey. He emphasized that this enhanced support would positively impact attracting more investments and achieving sustainable economic growth.

The minister also underscored the significance of blended financing from multilateral development banks. He pointed to its role in enhancing the private sector’s participation in developing emerging economies and increasing its contribution to GDP. Maait further noted the importance of international financial institutions adopting more investment-stimulating financing initiatives for projects in healthcare, education, water, and energy.

In line with this vision, Egypt is actively promoting private-sector partnerships, aiming for the private sector to account for 70% of the national economy and become the driving force behind economic growth, he indicated.