Egypt Adapts to Climate Change

IMF News, June 16, 2022

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Egypt is among the countries most impacted by climate change.
Major climate risks identified:
- higher temperatures and extreme weather
- water scarcity
- droughts
- rising sea levels (rising sea levels threaten Egypt’s port city of Alexandria)
Sectors at particular risk:
- agriculture
- tourism
- coastal communities

The Egyptian government recently launched the National Climate Change Strategy.
As host of COP27, Egypt is coordinating global action on climate adaptation, mitigation, and finance.

The private sector is scaling up adaptation efforts and will play a key role in the transition to a greener, climate-resilient economy.
To develop the green finance market, Egypt has issued the region’s first sovereign green bond to finance projects in clean transportation and sustainable water management.

Without adaptation, countries in the Middle East and Central Asia face crippling climate losses; Egypt’s vulnerabilities make adaptation a high priority.
Priority areas for policy and investment:
- strengthen water management to address water scarcity and droughts
- protect coastal zones and port infrastructure from sea level rise
- support agriculture and tourism resilience
- scale up green finance instruments (including sovereign green bonds) to fund clean transportation and sustainable water management projects
- leverage international coordination (COP27) to mobilize adaptation, mitigation, and finance

Source: IMF News — Egypt Adapts to Climate Change