Arab Republic of Egypt: Interim Strategy Note and
                                                                                          70821
          Arab Republic of Egypt: Emergency Labor Intensive Investment Project

                                 Meeting of the Executive Directors

                                             June 28, 2012

                                        Chair’s Summing Up

        Executive Directors discussed the joint IBRD/IFC Interim Strategy Note for the Arab Republic of
Egypt for FY2013-FY2014 (R2012-0126 [IFC/R2012-0220] ). Directors expressed broad support for the
interim strategy and its focus on macroeconomic management, jobs and inclusion, and improve
governance as a cross-cutting theme. Given the political and economic circumstances and the urgent
needs of the country, they considered the Interim Strategy Note as an appropriate vehicle for articulating
Bank strategy.

        Directors welcomed the recent developments in Egypt and urged every effort to bring about
inclusive economic growth and job creation. They emphasized the importance of broad consultations as
the Bank develops and implements its programs, ensuring appropriate attention to women and youth.
They noted Egypt’s economic promise and urged attention to strengthening the business climate to
support sustainable private sector-led growth.

         Directors welcomed and encouraged IFC’s significantly growing role in Egypt and collaboration
with the Bank in the financial sector. Directors also encouraged MIGA to explore opportunities to help
rebuild investor appetite. They also expressed strong support for the consolidation of the social protection
systems, continued improvement of portfolio quality, and mainstreaming gender in Bank/IFC operations.
Directors appreciated the candid assessment of risks and urged the Bank to work closely with other
donors in supporting the new government.

                                        Summary of Discussion 

         With respect to the Emergency Labor Intensive Investment, Executive Directors approved the
loan to the Arab Republic of Egypt in the amount of USD 200 million on the payment terms and
conditions set out in the President’s Memorandum (R2012-0142).

       Directors broadly supported the proposal and welcomed the focus on creating short-term
employment for the most vulnerable groups living in poor areas of Egypt. Directors underscored the
importance of ensuring effective targeting and close monitoring of the project, particularly to ensure that
women and youth will benefit as intended.





 This summary is not an approved record.