The Islamic Development Bank (IsDB) played a pivotal role in Egypt's energy sector during 2012-2022, financing multiple projects that supported a 14% increase in the country's energy production, representing represents a significant 94% of Egypt's total energy capacity.

The IsDB also contributed nearly 4,000 megawatts to this 14% growth through 19 approved projects valued at $2.02 billion.

Among these, six are solar power projects, according to a statement to the Saudi Press Agency, highlighting the bank's commitment to sustainable development.

Key sustainable development goals (SDGs) supported by the IsDB in Egypt include affordable and clean energy, decent work and economic growth, and advancements in industry, innovation, and infrastructure.

In July, Minister of Electricity and Renewable Energy, Mahmoud Esmat, announced that Egypt is targeting 45,000 megawatts from renewable energy projects currently under construction. At the time, the combined capacity of renewable energy from wind and solar sources stood at about 4.6 gigawatts, while hydroelectric energy capacity reached 2,832 megawatts.

The ministry plans to enhance the nation's electrical capacity by 750 megawatts with the introduction of two new renewable energy projects.

These projects, expected to be completed by the end of 2024, will involve investments of $700 million and include wind and solar energy sources, with a 250-megawatt wind energy project set to begin operations this August.

Esmat also highlighted that the national electricity grid's load peaked at 38 gigawatts on July 22. During the same period, Prime Minister Mostafa Madbouly reported that daily energy consumption had exceeded 37 gigawatts, marking a 12% increase from the previous year and resulting in a 4-gigawatt deficit.

Egypt recently launched Africa’s first voluntary carbon market, opening up registration, issuance, and trading of carbon reduction certificates for companies across the continent.

Minister of Planning and Economic Development, Rania Al Mashat, highlighted the significance of carbon markets during the opening ceremony, describing them as a crucial mechanism for reducing greenhouse gas emissions and a recommended model in the Sharm El-Sheikh Guide for Just Finance.