EBRD Provides €6.4 Million Loan To Ridgewood To Expand Egypt’s Desalination Plants And Integrate Renewable Energy For Sustainable Water Supply

The European Bank for Reconstruction and Development (EBRD) is providing a senior loan of up to EGP 350 million (approximately €6.4 million) to Ridgewood for Water Desalination (RWD), a company under Hassan Allam Utilities. This financing aims to support Egypt’s water security objectives by promoting sustainable infrastructure development. The funding will be used to construct new small-scale desalination plants and upgrade existing facilities along Egypt’s Red Sea and Mediterranean coasts.

These improvements will enable RWD to provide a consistent and reliable water supply to critical sectors of the Egyptian economy, including tourism and industry, which currently face limited access to municipal water due to regulatory constraints. In addition to increasing water availability, the investment is expected to enhance operational efficiency, improve energy usage, and support the company’s growth and diversification strategies. Egypt faces a severe water scarcity challenge, with an annual deficit of approximately 7 billion cubic metres.

The Nile River supplies 97 percent of the country’s freshwater, making the nation highly vulnerable to population growth, climate change, and regional pressures. Expanding desalination capacity through public-private partnerships and private investment is therefore critical to meeting this demand. Integrating renewable energy into these projects will further strengthen the sustainability and resilience of Egypt’s water supply. The planned upgrades to central water stations, along with the construction of new standalone plants, are expected to increase desalination capacity by around 10,000 to 15,000 cubic metres per day.

Ridgewood for Water Desalination, established in 1999, provides desalinated water to private-sector clients in Egypt’s coastal areas. The company’s expertise and infrastructure position it as a key player in addressing the country’s growing water needs. Egypt is a founding member of the EBRD, which has been active in the country since 2012. Since then, the Bank has invested nearly €13.9 billion across 209 projects, supporting sustainable economic growth and development across various sectors.