EU Pledges Billions of Euros for Egypt

File photo: Egyptian President Abdel Fattah Al-Sisi meets with European Commission President Ursula von der Leyen at the Ittihadiya presidential palace in Cairo, Egypt. (Reuters/File)
File photo: Egyptian President Abdel Fattah Al-Sisi meets with European Commission President Ursula von der Leyen at the Ittihadiya presidential palace in Cairo, Egypt. (Reuters/File)
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EU Pledges Billions of Euros for Egypt

File photo: Egyptian President Abdel Fattah Al-Sisi meets with European Commission President Ursula von der Leyen at the Ittihadiya presidential palace in Cairo, Egypt. (Reuters/File)
File photo: Egyptian President Abdel Fattah Al-Sisi meets with European Commission President Ursula von der Leyen at the Ittihadiya presidential palace in Cairo, Egypt. (Reuters/File)

The European Union announced a 7.4 billion euro ($8.1 billion) funding package and an upgraded relationship with Egypt on Sunday.

The agreement lifts the EU's relationship with Egypt to a "strategic partnership" and was unveiled as a delegation of leaders visited Cairo. It is designed to boost cooperation in areas including renewable energy, trade and security, while delivering grants, loans and other funding over the next three years to support Egypt's faltering economy.

The proposed funding includes 5 billion euros in concessional loans and 1.8 billion euros of investments, according to a summary published by the EU. Another 600 million euros would be provided in grants, including 200 million euros for managing migration.

Such deals were "the best way to address migratory flows", said Italian Prime Minister Giorgia Meloni, who travelled to Cairo alongside EU Commission President Ursula von der Leyen, the Greek, Austrian and Belgian prime ministers, and the Cypriot president.

Inflation is running close to record highs and many Egyptians say they struggle to get by. Over the past month, however, financial pressure has eased as Egypt struck a record deal for Emirati investment, expanded its program with the IMF, and sharply devalued its currency.

Diplomats say Egypt's strategic importance has been underscored by the war in Gaza, where Egypt is trying to mediate between Israel and Hamas and increase deliveries of humanitarian aid; and by the conflict in neighboring Sudan, which has created the world's biggest displacement crisis.

Speaking alongside Egyptian President Abdel Fattah al-Sisi, von der Leyen said it was critical to rapidly reach a Gaza ceasefire deal. Both leaders warned against an Israeli incursion into Rafah, where much of Gaza's population has been displaced.

Egypt says it has lined up a total of $20 billion in multilateral support after increasing its loan and economic reform program with the IMF.

Most of the EU funding is newly allocated and was drawn up in close cooperation with the IMF, with 1 billion euros of the "macro-financial" loan funding to be delivered this year, a senior EU official said.

The remaining 4 billion euros are subject to approval by the European parliament, the official added.

Egypt largely shut off irregular migration from its north coast in 2016, but more recently there has been a surge in Egyptians trying to cross to Europe via Libya, and the EU is already providing support aimed at reducing those flows.

In recent months, the Greek islands of Crete and Gavdos have seen a steep rise in migrant arrivals, mostly from Egypt, Bangladesh and Pakistan.

"We must prevent the opening of new migration routes and we will work very closely with Egypt to ensure that this will be achieved," said Greek Prime Minister Kyriakos Mitsotakis, adding that both countries would try to open up legal pathways on migration.



Trump Calls for Probe Into Gasoline Price 'Gouging'

LOS ANGELES, CALIFORNIA - JUNE 22: Yellow caution tape is seen wrapped around a gas pump at a Shell gas station on June 22, 2026 in Los Angeles, California. Justin Sullivan/Getty Images/AFP
LOS ANGELES, CALIFORNIA - JUNE 22: Yellow caution tape is seen wrapped around a gas pump at a Shell gas station on June 22, 2026 in Los Angeles, California. Justin Sullivan/Getty Images/AFP
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Trump Calls for Probe Into Gasoline Price 'Gouging'

LOS ANGELES, CALIFORNIA - JUNE 22: Yellow caution tape is seen wrapped around a gas pump at a Shell gas station on June 22, 2026 in Los Angeles, California. Justin Sullivan/Getty Images/AFP
LOS ANGELES, CALIFORNIA - JUNE 22: Yellow caution tape is seen wrapped around a gas pump at a Shell gas station on June 22, 2026 in Los Angeles, California. Justin Sullivan/Getty Images/AFP

US President Donald Trump said on Wednesday that he has instructed the Department of Justice to look into oil companies for not lowering gasoline pump prices in line with falling crude costs, and accused the companies of "gouging" customers.

According to Reuters, Trump did not name any companies in his social media post, which came after midnight. The White House and the Justice Department (DOJ) did not respond to a request for further comment outside regular business hours.

Diplomacy between the US and Iran has translated into relief at the pump for Americans, data ⁠showed earlier this ⁠week, with gasoline prices falling for a sixth straight week.

However, Trump said the fall in gasoline prices was neither enough nor proportionate with declines in crude oil costs.

"Gasoline prices better start going down a lot faster than what I’m seeing!"

Trump's latest post comes as consumers raise concern ⁠over high gasoline prices, just as the president and fellow Republicans are battling to hold narrow majorities in Congress in November's midterm elections.

The average price of gasoline in the US was $3.906 per gallon early Wednesday, GasBuddy data showed, down more than 14% from the peak in May.

By comparison, over the same period, crude oil prices have fallen 23%, with the US and Iran reaching an interim peace deal and reopening the Strait of Hormuz, through which one-fifth of global oil ⁠supply ⁠moved before the war began. From their peak in March, US crude prices have sunk about 40%.

"The big Oil Companies are not dropping their price at the pump commensurate with the sharply lower prices they are paying for Oil. Those prices are dropping like a rock! In other words, customers are being "gouged"," Trump said in a post on Truth Social.

"I have instructed the DOJ to immediately start looking into this."

Pump prices remain significantly higher than the $2.764 per gallon recorded in January, more than a month before the Iran conflict began.


Paris Club Says Debt Restructurings Need Improvement

Tourists with an umbrella take a photo in Paris, Monday, June 22, 2026. (AP Photo/Christophe Ena )
Tourists with an umbrella take a photo in Paris, Monday, June 22, 2026. (AP Photo/Christophe Ena )
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Paris Club Says Debt Restructurings Need Improvement

Tourists with an umbrella take a photo in Paris, Monday, June 22, 2026. (AP Photo/Christophe Ena )
Tourists with an umbrella take a photo in Paris, Monday, June 22, 2026. (AP Photo/Christophe Ena )

Despite progress in recent years the process for helping over-indebted countries restructure their public debts needs further improvement, the Paris Club said Tuesday.

The Paris Club brings together 22 mostly Western creditor nations which negotiate together on the terms to reduce the debt burden of countries that can no longer pay back their loans.

The group, in its annual report, said better coordination among creditors, more transparency and better information sharing could help improve the process, AFP reported.

In 2020, the Paris Club and the G20 nations launched a so-called Common Framework to streamline the debt restructuring of eligible low-income countries.

"Over the course of five years, the Common Framework has delivered significant results in practice," the Paris Club's co-chairman, Thomas Revial, said in the report.

He noted that more than $45 billion of external debt has been restructured under the framework.

"Negotiation timeframes have been compressed between each successive case: it took one year to Ethiopia and its official bilateral creditors" to reach a preliminary agreement restructuring $8.4 billion of debt in March 2025.

He noted however that Zambia hasn't fully restructured its debt six years after starting the process, when bilateral deals should be completed within a year of a preliminary agreement being reached.

The Paris Club members negotiate only their bilateral debts with over-indebted countries, but they require that private creditors don't receive more favorable terms, thus helping nations achieve better results.

Revial said one way to facilitate the process further would be to allow debtor countries to share information on the official creditor's debt treatment to its other creditors, without non-disclosure agreements.

"The Common Framework should eventually become the standard framework for sovereign debt restructurings beyond low-income countries," said Revial.

"It is indeed apparent that a lack of coordination of official bilateral creditors can lead to stalemate and prevent debtor countries from recovering," he added.

The Paris Club, which is housed in the French Treasury, celebrates its 70th anniversary this year.


Saudi Arabia’s Investment Appeal Lures Global Manufacturers

The German pavilion at Riyadh International Industry Week 2026 in Riyadh. (Asharq Al-Awsat)
The German pavilion at Riyadh International Industry Week 2026 in Riyadh. (Asharq Al-Awsat)
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Saudi Arabia’s Investment Appeal Lures Global Manufacturers

The German pavilion at Riyadh International Industry Week 2026 in Riyadh. (Asharq Al-Awsat)
The German pavilion at Riyadh International Industry Week 2026 in Riyadh. (Asharq Al-Awsat)

Saudi Arabia’s push to build a broader industrial base and attract global investment is turning the Kingdom into a strategic market for international manufacturers seeking stability and long-term growth.

The growing presence of global companies in Saudi Arabia shows how the industrial transformation driven by Vision 2030 is reshaping the investment landscape, supported by advanced infrastructure, a strategic location and policies that strengthen the competitiveness of local production.

That momentum is clear at Riyadh International Industry Week 2026, now underway in the Saudi capital, with more than 400 manufacturing companies from over 20 countries taking part.

Sebastian Walter, business development director for the Middle East and West Africa and France at Germany’s BBM, an engineering and machinery manufacturing company, and one of its co-owners, told Asharq Al-Awsat that Saudi Arabia has been one of the company’s largest export markets worldwide for about 15 years.

He said the rapid growth of local manufacturing and industrial investment is driving demand for packaging solutions and industrial components, including in sectors linked to the automotive industry.

BBM's Business Development Manager showcases the company's products (Asharq Al-Awsat)

Packaging

Speaking during Riyadh International Industry Week 2026 at the Riyadh International Convention and Exhibition Center, Walter said Saudi Arabia is among the global markets with the highest number of BBM machines installed.

He said the shift toward local manufacturing, instead of importing value-added products, has strengthened demand for packaging solutions.

The growth, he added, is not limited to packaging. It is also extending to other industries, including the automotive sector, where demand for locally manufactured components is rising.

Walter, whose company is a leading manufacturer of plastic-forming machinery, said Saudi Arabia’s investment environment has become far more open than it was two decades ago.

He cited the possibility of full foreign ownership, easier access to qualified Saudi talent, competitive energy prices and the kingdom’s geographic position, which gives manufacturers access to African and Asian markets.

He said BBM views Saudi Arabia as a stable and strategic market within its operations in the Middle East and Africa. The Kingdom is the company’s most important market in the Arab region and one of its most important worldwide, he said.

Over more than 20 years in the Saudi market, BBM has built long-term partnerships with several major local companies, Walter added.

Local production

Walter said the automotive sector is one of the most promising areas for cooperation in the coming years.

Higher levels of local production by companies such as Lucid and Ceer, he said, will bring an integrated industrial value chain to Saudi Arabia and create fresh opportunities for manufacturers, suppliers and industrial solutions providers.

He said many investors still focus heavily on initial capital spending when making purchasing or manufacturing decisions. But the more important factor, he added, is the long-term cost per unit produced and operational efficiency.

Companies that adopt advanced technologies and plan for expansion tend to focus more on productivity and operational efficiency, he said.

Walter said BBM chose Dubai as its regional headquarters for the Middle East and Africa because of its connectivity and ease of travel to regional markets, especially Africa, where the company’s business has expanded significantly in recent years.

At the same time, he said travel and visa procedures for Saudi Arabia have become easier than before.

Raw materials

Walter said BBM is following developments in the availability of raw materials used by some of its customers.

That area has faced some challenges in the past, he said, but Saudi Arabia still offers promising opportunities for expansion in petrochemicals, food industries, pharmaceuticals and automotive manufacturing.

He said he expects industrial activity in Saudi Arabia to keep growing in the coming years, supported by investment and new projects.

Walter urged investors to look at industrial opportunities from two angles.

The first, he said, is to develop products already available in the market and make them more competitive. The second is to identify specialized products found in other markets but not yet produced locally.

Investors, he added, should analyze the real cost of manufacturing rather than focusing only on the size of the initial capital investment.

Week’s events

Riyadh International Industry Week 2026 opened on Sunday under the patronage of the Ministry of Industry and Mineral Resources at the Riyadh International Convention and Exhibition Center, with more than 400 exhibitors from 20 countries taking part.

The event brings together three specialized exhibitions: the 21st Saudi Plastics & Petrochem exhibition, Saudi Print & Pack, and the fourth Saudi Smart Logistics exhibition.

The week runs until June 24 and is jointly organized by Riyadh Exhibitions Company Ltd. and Germany’s Messe Düsseldorf.

It includes panel discussions and specialized workshops with local and international officials and experts. Sessions cover industrial transformation, innovation, localization, industrial enablers and advanced packaging solutions, along with the latest practices in plastics, packaging, printing and plastic recycling.

The event comes as Saudi Arabia’s industrial sector undergoes a period of growth and development, driven by Vision 2030, which aims to strengthen the Kingdom’s position as a leading industrial power regionally and globally.