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.



China’s Leader Ends Southeast Asia Tour Touting Beijing’s Reliability vs. US Tariff Threats

This pool photo taken and released on April 18, 2025 by Agence Kampuchea Presse (AKP) shows China's President Xi Jinping (C-L) walking with Cambodia's Senate President Hun Sen (C-R) past the honour guard upon his departure at Phnom Penh International Airport. (AFP)
This pool photo taken and released on April 18, 2025 by Agence Kampuchea Presse (AKP) shows China's President Xi Jinping (C-L) walking with Cambodia's Senate President Hun Sen (C-R) past the honour guard upon his departure at Phnom Penh International Airport. (AFP)
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China’s Leader Ends Southeast Asia Tour Touting Beijing’s Reliability vs. US Tariff Threats

This pool photo taken and released on April 18, 2025 by Agence Kampuchea Presse (AKP) shows China's President Xi Jinping (C-L) walking with Cambodia's Senate President Hun Sen (C-R) past the honour guard upon his departure at Phnom Penh International Airport. (AFP)
This pool photo taken and released on April 18, 2025 by Agence Kampuchea Presse (AKP) shows China's President Xi Jinping (C-L) walking with Cambodia's Senate President Hun Sen (C-R) past the honour guard upon his departure at Phnom Penh International Airport. (AFP)

Chinese President Xi Jinping capped a three-nation Southeast Asia tour in Cambodia on Friday, promoting Beijing's reliability as the region faces economic uncertainty due to US President Donald Trump’s tariff proposals.

China has been strongly increasing its influence in the region over the past decade, largely by exercising its substantial economic leverage. Beijing is now presenting itself as a source of stability and certainty as Trump’s tariffs threaten the region’s export-oriented economies whose largest market is generally the United States.

Cambodia faces among the highest reciprocal tariff rates proposed by Washington. In addition to Trump’s universal 10% tariff, it faces the threat of a 49% tariff on exports to the US once his 90-day pause expires. For the other nations visited by Xi, Vietnam 's tariff would be 46%, and Malaysia 's 24%.

"The timing of the visit is extraordinarily auspicious for China, falling just in the wake of the announcement of Trump’s tariffs that have caused managed consternation in Cambodia and Vietnam ... and upset in Malaysia," Astrid Norén-Nilsson, a senior lecturer in the Study of Contemporary South-East Asia at Sweden’s Lund University, said in an email interview on Thursday.

"Xi Jinping can now carry out the tour equipped with the moral authority and goodwill of a singularly constant friend and reliable trading partner."

In Vietnam and Malaysia, Xi emphasized strengthening ties, particularly in trade and investment, and underscored the need to oppose unilateralism and protectionism and uphold the multilateral trading system.

A summary of the visit issued Friday by Cambodia’s Foreign Affairs Ministry barely mentioned the trade crisis, focusing instead on bilateral relations, though China's state Xinhua news agency said Xi had discussed the same trade issues as on his previous stops.

"This milestone visit not only reaffirmed the unwavering commitment to the ironclad friendship between Cambodia and China, but also further strengthened and deepened the Comprehensive Strategic Partnership and win-win cooperation between the two countries," said the Cambodian statement.

During his stay, Xi was granted a royal audience by King Norodom Sihamoni and held meetings with Prime Minister Hun Manet and Senate President Hun Sen, who is Hun Manet’s father and predecessor as prime minister. The visit was Xi’s first to Cambodia since 2016.

Xi and Hun Manet also presided over the signing of 37 documents covering investment, trade, education, finance, information, youth work, agriculture, health, water resources, tourism, women’s affairs and other subjects.

Details of the biggest deal were announced Friday, the signing of a public-private partnership contract to fund Cambodia's ambitious $1.156 billion Funan Techo Canal project, which was launched last year but work stopped soon after groundbreaking.

The 151 kilometer (94 mile)-long canal would link a branch of the Mekong River to a port on the Gulf of Thailand.

China has been Cambodia’s largest trading partner for 13 consecutive years, with two-way trade in 2024 reaching $17.83 billion, though greatly in China’s favor. It has also been Cambodia’s largest source of foreign investment for 13 consecutive years, as well as a major aid donor and its biggest creditor.

Referring to social and development issues, the Foreign Ministry's statement implicitly made a contrast to positions held by the United States, saying "both sides acknowledged the global threat posed by climate change and committed to strengthening environmental protection (and) advancing clean energy collaboration."

It mentioned as well China’s help in dealing with Cambodia’s problem of clearing land mines left over from armed conflicts decades ago, and cooperation in the health sector. The Trump administration’s foreign aid cuts have affected those and other sectors.

The statement also declared that "both sides agreed to further strengthen the cooperation mechanism between the armed forces of the two countries."

Beijing helped fund an expansion of the Ream Naval Base on Cambodia’s southern coast, raising worries it could become a strategic outpost for the Chinese navy in the Gulf of Thailand.

The statement did not mention the base issue. Cambodia has repeatedly denied any agreement granting China special privileges or the establishment of a foreign military base.

Cambodia has stated that warships from all friendly countries are welcome to dock at its new pier, provided they comply with certain conditions. Japan announced on Tuesday that two of its minesweepers will visit the Ream base this weekend in the first foreign navy visit since the expansion project was completed.