The European Parliament’s International Trade Committee has endorsed two separate macro-financial assistance (MFA) packages aimed at supporting Egypt and Jordan, with proposed loans of €4 billion and €500 million respectively. The approvals were granted during a vote held on 21 March 2025 in Brussels. The MFA proposal for Egypt was approved by 28 votes in favor, seven against, and five abstentions. Jordan’s loan package saw broader support, passing with 35 votes in favor, two against, and three abstentions. These financial instruments are part of the European Union’s external support strategy designed to assist partner countries facing economic, financial, or social pressures, while also encouraging structural reforms.
The proposed loans will not be disbursed until both the European Parliament and the Council formally adopt the measures. A final vote in the Parliament’s plenary session is scheduled for April 2025. The financial support is expected to be delivered in tranches, contingent on the fulfilment of agreed reform commitments. According to Céline Imart, the European People’s Party (EPP) Member of the European Parliament and rapporteur for the proposals, the decision demonstrates the EU’s strategic interest in fostering regional stability.
Imart emphasized that Egypt remains a critical partner for the EU in a volatile geopolitical environment. She also noted the significance of the loan to Jordan, framing it as part of a broader effort to reinforce a newly defined partnership with the Hashemite Kingdom. The EU’s macro-financial assistance program typically targets countries experiencing serious balance-of-payments difficulties. These loans complement support from institutions such as the International Monetary Fund (IMF) and are conditioned on policy measures aimed at improving economic governance, financial transparency, and sustainable growth.
Egypt and Jordan have both faced economic strains in recent years, exacerbated by regional instability, rising debt burdens, and external shocks. The EU’s support is expected to contribute to macroeconomic stabilization while advancing key political and economic reforms in both countries. The assistance aligns with the EU’s commitment to reinforce resilience and cooperation with neighboring countries in the Southern Mediterranean. Pending final approval, these loan packages are set to become integral components of the EU’s engagement with Egypt and Jordan. – By EuroWire News Desk.