Cairo for a Future Strategy with OFID

Egyptian Minister for International Cooperation Rania al-Mashat (Asharq Al-Awsat)
Egyptian Minister for International Cooperation Rania al-Mashat (Asharq Al-Awsat)
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Cairo for a Future Strategy with OFID

Egyptian Minister for International Cooperation Rania al-Mashat (Asharq Al-Awsat)
Egyptian Minister for International Cooperation Rania al-Mashat (Asharq Al-Awsat)

Egyptian Minister for International Cooperation Rania al-Mashat has confirmed that Arab financial institutions led by Saudi Arabia have provided $9 billion for the advancement of Sinai, noting that the Kuwait Fund supports technical studies of the railway link project between Egypt and Sudan through a grant of $2.5 million.

Al-Mashat revealed that efforts are underway to put in place a future strategy with the OPEC Fund for International Development (OFID).

“Arab financial institutions play a strong role in supporting economic and social development programs in member states, and Egypt is a major contributor to Arab financial institutions and bodies, and we have implemented many model development projects with these institutions, on top of which is the Sinai Peninsula Development Program,” al-Mashat told Asharq Al-Awsat on the sidelines of a recent meeting in Jeddah.

Moreover, al-Mashat drew attention to the results of discussions she recently held with OFID officials, especially considering joint efforts to back efforts to transition to a green economy.

These consultations resulted in several projects such as the 650-megawatts Assiut Power Plant project, which is financed by OFID with a whopping $35 million.

OFID is also supporting the second phase of developing and rehabilitating irrigation stations to reduce water losses. It is pumping $53.2 million into the project.

Al-Mashat added that the project to develop small, medium, and micro enterprises to enhance efforts to create job opportunities, at a value of $95 million, also comes as part of the efforts to transition to a green economy as well.

Other than being a part of transitioning into a green economy, the project also comes as part of the efforts to place a future strategy with OFID to maximize development cooperation efforts, support national priorities, especially with regard to climate action efforts, and stimulate the participation of the private sector in development.

Al-Mashat stressed that Arab financing support enhances the achievement of sustainable development goals in the Arab world, stimulates joint Arab economic action and confronts urgent challenges facing development effort.

She noted that her country has been associated with effective development cooperation and strategic partnerships with Arab financial institutions.

This association crystallized through the financing of many priority development projects in many vital sectors such as electricity and energy, transportation, health, housing, desalination and treatment plants, higher education, scientific research, and agriculture.

Al-Mashat reaffirmed that partnerships between Arab funds and her country are still existing and continuing despite the challenges brought about by the coronavirus pandemic.

She noted that the partnerships continued as a success story between the Egyptian government and Arab financial institutions thanks to the flexible policies and proactive plans they prepared to deal with the crisis.

Al-Mashat added that Egypt is one of the Arab countries that contributes the most to the capital of Arab financial institutions and bodies.

According to the minister, Egypt contributes to the capital of the Arab Fund for Economic and Social Development, which amounts to $599 million.

The Northeast African country also contributes to the capital of the special account to finance small and medium private sector projects in Arab countries with a value of $20 million, and the Arab Investment Guarantee Corporation, with a value of $6.2 million.



Oil Falls Nearly 4% as Iran's Retaliation Focuses on Regional US Military Bases

FILE PHOTO: A meter shows the gas pressure in pipelines at oil and gas group MOL's gas transmission subsidiary in Vecses January 2, 2009.  REUTERS/Karoly Arvai (HUNGARY)/File Photo
FILE PHOTO: A meter shows the gas pressure in pipelines at oil and gas group MOL's gas transmission subsidiary in Vecses January 2, 2009. REUTERS/Karoly Arvai (HUNGARY)/File Photo
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Oil Falls Nearly 4% as Iran's Retaliation Focuses on Regional US Military Bases

FILE PHOTO: A meter shows the gas pressure in pipelines at oil and gas group MOL's gas transmission subsidiary in Vecses January 2, 2009.  REUTERS/Karoly Arvai (HUNGARY)/File Photo
FILE PHOTO: A meter shows the gas pressure in pipelines at oil and gas group MOL's gas transmission subsidiary in Vecses January 2, 2009. REUTERS/Karoly Arvai (HUNGARY)/File Photo

Oil prices slipped more than $3, or 4%, on Monday after Iran attacked the US military base in Qatar in retaliation for US attacks on its nuclear facilities, and took no action to disrupt oil and gas tanker traffic through the Strait of Hormuz.

Brent crude futures were down $2.91, or 3.8%, at $74.09 a barrel by 1:13 p.m. ET (1713GMT). US West Texas Intermediate crude (WTI) eased $2.8, or 3.8%, to $71.06, Reuters reported.

"Oil flows for now aren't the primary target and is likely not to be impacted, I think it's going to be military retaliation on US bases and/or trying to hit more of the Israeli civilian targets," said John Kilduff, a partner at Again Capital.

US President Donald Trump said he had "obliterated" Iran's main nuclear sites in strikes over the weekend, joining an Israeli assault in an escalation of conflict in the Middle East as Tehran vowed to defend itself.

Israel also carried out fresh strikes against Iran on Monday including on capital Tehran and the Iranian nuclear facility at Fordow, which was also a target of the US attack.

At least two supertankers made U-turns near the Strait of Hormuz following US military strikes on Iran, ship tracking data shows, as more than a week of violence in the region prompted vessels to speed, pause, or alter their journeys.

About a fifth of global oil supply flows through the strait. However, the risk of a complete shutdown is low, analysts have said.

A telegraphed attack on a well defended US base could be a first step in reducing tensions provided there are no US casualties, Energy Aspects said in a post.

"Unless there are indications of further Iranian retaliation or escalation by Israel/the US then we may see some geopolitical risk premium come out of the price in subsequent days," it said.

Qatar said there were no casualties from the attack on the US military base.
Iran, which is OPEC's third-largest crude producer, said on Monday that the US attack on its nuclear sites expanded the range of legitimate targets for its armed forces and called Trump a "gambler" for joining Israel's military campaign against Iran.

Meanwhile, Trump expressed a desire to see oil prices kept down amid fears that ongoing fighting in the Middle East could cause them to spike. On his Truth Social platform, he addressed the US Department of Energy, encouraging "drill, baby, drill" and saying, "I mean now."

Investors are still weighing up the extent of the geopolitical risk premium, given the Middle East crisis has yet to crimp supply.

HSBC expects Brent prices to spike above $80 a barrel to factor in a higher probability of a Strait of Hormuz closure, but to recede again if the threat of disruption does not materialize, the bank said on Monday.

Iraq's state-run Basra Oil Company said international oil majors including BP, TotalEnergies and Eni had evacuated some staff members working in oilfields.