Photo: iStock
Eurasia
06/03/2024 16:06
The agreement was signed by Housing Minister Assem El-Gazzar and Investment Minister Mohamed Al Suwaidi from the UAE side, according to Anadolu Agency.
At a press conference after the deal was signed, the Egyptian prime minister thanked "the political leadership of the two countries for their support in implementing this project in record time."
He explained that the project includes the establishment of hotels and tourist resorts, entertainment projects, a financial and business zone, and the establishment of an international airport south of Matrouh.
He pointed out that there will be an integrated development of the Ras El Hikma area in all fields, expecting this to contribute to attracting about 8 million tourists annually.
Regarding the financial details of the project, Madbouly spoke about two parts, "the first is a foreign direct investment worth $ 35 billion, of which Egypt will receive a first payment of $ 15 billion within two months, followed by a second payment of $ 20 billion."
In this regard, he pointed out that "the UAE side will inject during the period of implementation of the project (did not specify) at least $ 150 billion."
He added that the second part is the profits of the project, where the Egyptian state's share of it will be about 35 percent.
Sending a message of reassurance to residents of the lands allocated for the project, Madbouly stressed that the state is "committed to full compensation in cash and in kind," pointing out that all those present on the land have been counted in addition to the inventory of buildings and agricultural lands.
He stated that the state will establish residential communities for them near the project site to transport them to them so that they can be in the same place because it is expected that they are the beneficiaries, directly benefiting from the development process in the region, by providing job opportunities.
Egypt's official announcement of the deal comes amid a global economic crisis affecting Egypt, and government efforts to get out of it through foreign investment deals as well as the signing of a new agreement with the International Monetary Fund.