Egypt receives initial installment of USD35B in investment pledge from UAE
(MENAFN) On Thursday, Egypt announced the reception of the initial installment from the United Arab Emirates, part of the USD35 billion investment commitment pledged between the two nations.
Premier Mostafa Madbouly stated that USD5 billion has been disbursed to the government, earmarked for the development of the Ras El-Hekma coastal region.
“Another USD5 billion will be transferred on Friday,” during a Cabinet session held in Cairo, premier Mostafa Madbouly made this announcement.
The Prime Minister noted that Egyptian and Emirati authorities have collaborated to facilitate the transfer of USD5 billion from an Emirati deposit held at Egypt’s central bank into the Egyptian pound. However, specific details regarding the transfer process were not provided during the announcement.
“Within two months, Egypt will receive the remainder of the USD35 billion pledged as part of this deal,” he further mentioned.
“Egypt will also get 35 percent from the net profits of the project,” Madoubly declared.
On Friday, Egypt finalized an investment agreement with the UAE aimed at transforming the Rash El-Hekma region into a pioneering Mediterranean urban community. Spanning across 42,000 acres, the project entails the development of residential districts, upscale international hotels, tourist resorts, a substantial marina, recreational facilities, as well as essential service amenities such as hospitals, schools, and universities.
The comprehensive plan encompasses administrative and service structures, including a free economic zone dedicated to information technology industries, logistics hubs, and the establishment of an international airport. Additionally, a central business district is envisaged to be the focal point for attracting global corporations seeking to establish a presence in the region.
Egypt's strategic objective behind the investment pact is multifold. The nation aims to alleviate its acute shortage of hard currency, mitigate foreign debt burdens, and progress its urban development agenda. The ambitious initiative is projected to draw a total investment of USD150 billion, signifying a significant infusion of capital aimed at catalyzing economic growth and fostering sustainable development in the region.
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