Al-Sisi to World Bank chief: Egypt loses $10bn in Suez Canal revenues amid regional tensions

2026-03-02 - 18:44

Egypt’s President Abdel Fattah Al-Sisi met Ajay Banga, President of the World Bank Group, on Monday, reaffirming Egypt’s commitment to economic reform and warning of the mounting economic costs of ongoing regional tensions, including an estimated $10bn loss in Suez Canal Authority revenues in recent years. According to a presidency statement, Al-Sisi praised the strategic partnership between Egypt and the World Bank in advancing sustainable development and supporting the country’s economic reform programme, highlighting projects implemented across multiple sectors. The president reviewed measures undertaken in recent years to strengthen macroeconomic performance and mitigate the impact of successive global and regional shocks. He pointed to Egypt’s reform programme in cooperation with the International Monetary Fund, efforts to stabilise the foreign exchange market, curb inflation and public debt, reinforce fiscal discipline, and expand private sector participation in economic activity. Al-Sisi also reiterated Egypt’s keenness to deepen development cooperation with the World Bank to improve living standards. He cited flagship social initiatives such as the Decent Life programme and the “Takaful and Karama” scheme, aimed at advancing the Sustainable Development Goals by 2030, alongside housing and employment projects targeting youth job creation. For his part, Banga expressed appreciation for Egypt’s longstanding partnership with the World Bank and commended ongoing coordination on projects related to social protection, healthcare, food security, education and climate resilience. He also welcomed steps taken to advance economic reforms, attract foreign direct investment and support sustainable growth. Regional developments were also discussed during the meeting. Al-Sisi underscored Egypt’s efforts to contain tensions through diplomatic and peaceful means, warning of broader economic repercussions from the continuing Gaza conflict, particularly on global commodity prices, energy markets and navigation in the Red Sea. He stated that Egypt had incurred losses of around $10bn in Suez Canal revenues due to the Gaza war and associated disruptions to Red Sea shipping. The president added that Egypt is also bearing significant economic pressure from hosting approximately 10.5 million foreigners displaced by regional conflicts, who receive public services comparable to those provided to Egyptian citizens without commensurate external financial support, a burden acknowledged by the World Bank chief, according to the statement.