Egypt signs $150 billion deal with UAE to develop ‘Ras El Hekma’

Egyptian Prime Minister Dr. Mostafa Madbouly presided over the signing ceremony of what he termed “the largest investment deal with major entities.”

Madbouly emphasized that this deal represents a partnership rather than a sale of assets, underlining Egypt’s need for one million new job opportunities annually, hence the importance of such significant projects, reports Al-Jarida daily.

He described the Ras al-Hekma project as “the largest investment endeavor in Egypt’s history,” outlining its urban development plan to include Matrouh, Salloum, and El Alamein.

Madbouly highlighted Egypt’s agreement with the UAE to develop Ras El Hekma, located west of Alexandria, projecting a $150 billion revenue for Egypt, with the state receiving 35% of the profits.

The deal comprises two components: a financial portion to be paid upfront and a share of the project’s profits. The initial payment involves $35 billion in direct foreign investment over two months, with $15 billion disbursed in the first week and $20 billion after two months.

Madbouly also mentioned the conversion of $11 billion in UAE deposits with the Central Bank of Egypt into direct investments, reducing Egypt’s foreign debt burden.

He clarified that these funds, previously classified as deposits and obligations of the Egyptian state within Egypt’s foreign debt, would be reclassified as direct investments, leading to a decrease in the foreign debt.

Read Today's News TODAY...
on our Telegram Channel
click here to join and receive all the latest updates t.me/thetimeskuwait

Back to top button