EU’s 7.4 bn-euro aid package to support cash-strapped Egypt, curb illegal migration

The European Union signed a “historic” deal with Egypt on Sunday (17 March) that includes a funding package of 7.4 billion euros and elevating their relationship to the level of a “strategic and comprehensive partnership”, in bid to stem migrant flows to Europe.
The 7.4 billion-euro aid package for cash-strapped Egypt was announced by European Commission President Ursula von der Leyen and Egyptian President Abdel Fattah el-Sissi in Cairo amid mounting concerns that economic pressure and conflicts in neighboring countries could drive more migrants to European shores. The deal, which drew criticism from rights groups over Egypt’s human rights record, was signed Sunday by both leaders in a ceremony that was also attended by leaders of Belgium, Italy, Austria, Cyprus and Greece. The initiative aims to strengthen collaboration in various sectors such as renewable energy, trade, and security while delivering grants, loans and other funding over the next three years to support Egypt’s struggling economy.
“Your visit today represented a very important milestone in the relations between Egypt and the European Union,” el-Sissi told visiting European leaders. He said the deal has achieved a “paradigm shift in our partnership.” Over the next three years, the Arab world’s most populous country will receive an aid package that includes both grants and loans, with most of the funds totaling 5 billion euros being macro-financial assistance, according to a document from the EU mission in Egypt. The deal also provides for EU assistance to Egypt’s government to fortify the country’s borders, especially with Libya, a major transit point for migrants fleeing poverty and conflicts in Africa and the Middle East.