The Debt Conversion Agreement between Italy and Egypt, signed and made effective on July 9, 2001, is a development cooperation instrument under Italy’s Debt-for-Development Swap policy. This mechanism allows the debtor country—Egypt in this case—to avoid repaying part of its debt to Italy in foreign currency, provided the equivalent amount in local currency is reinvested in development projects. Initially intended to last six years, the agreement has been extended and updated multiple times through exchanges of letters—formal instruments used to amend existing agreements without signing new ones. Exchanges of letters occurred in 2005, 2007, and 2008, modifying or extending the implementation of the agreement, indicating that its execution continued well beyond the initial expiration date.
LINK: Agreement