Prime Minister Mostafa Madbouly met with Ahmed Kouchouk, Minister of Finance, and Karim Badawi, Minister of Petroleum and Mineral Resources, to review the status of financial allocations required to secure the country’s needs for various petroleum products. The meeting was also attended by senior officials from both ministries and the Egyptian General Petroleum Corporation (EGPC), noted a statement by the Cabinet.
Madbouly emphasized that the settlement of arrears owed to foreign partners in the petroleum sector represents more than a financial obligation. Rather, it constitutes a fundamental solution to one of the sector’s most pressing challenges in recent years.
He noted that the full repayment of dues has strengthened confidence in Egypt’s petroleum investment climate and is expected to support increased capital inflows and new investments, paving the way for more exploration, development, and production activities.
For his part, Badawi noted that the government’s consistent payment schedule in recent months has already incentivized partners and helped halt declines in oil and natural gas output. The settlement of dues is also expected to accelerate the implementation of various projects, supporting Egypt’s efforts to narrow the gap between production and consumption, strengthen energy security, and ensure the sustainability of energy resources.
On June 10, Egypt fully settled its arrears to foreign oil and gas partners. The arrears stood at $6.1 billion in June 2024.
The Ministry of Petroleum and Mineral Resources (MoPMR) is implementing an integrated strategy aimed at maintaining stable energy supplies while meeting the needs of citizens and economic sectors, alongside efforts to attract investments and increase oil and gas production, said Badawi.
He further stressed that Egypt possesses a comprehensive and flexible natural gas supply system capable of meeting the requirements of power generation plants and various industrial and economic sectors during the summer months. He noted that continuous coordination is underway with the Ministry of Electricity and Renewable Energy to ensure the stability and sustainability of energy supplies across the country.
During the meeting, Kouchouk affirmed that the Ministry of Finance continues to support key economic and productive sectors, particularly the energy sector.
He noted that substantial energy support allocations have been incorporated into the FY 2026/27 budget, alongside additional provisions to safeguard stable energy supplies.
Kouchouk added that the new fiscal year’s budget aims to meet the basic needs of citizens and ensure the sustainability of public services. This comes alongside supporting economic activity and investors by providing a stable and stimulating energy environment for production, thereby supporting economic stability and achieving sustainable growth targets.
This meeting comes after Madbouly visited the natural gas production facilities in Egypt’s West Delta Deep Marine (WDDM) on June 14, in which he emphasized the government’s efforts to attract additional investments and encourage international energy companies to expand exploration and production activities.
