Egypt has signed a Memorandum of Understanding with China to partially engage the latter in the construction of the first phase of its new administrative capital east of Cairo, the most-celebrated undertaking offered to investors during the Sharm el-Sheikh economic conference last March.
Investment Minister Ashraf Salman signed an MoU with China State Construction Engineering Corporation Wednesday, by which the company could partially contribute to construction in the first phase of the new capital, the cost of which is estimated at LE45 billion.
The signing came as part of a three-day visit by Egypt’s President Abdel Fattah al-Sisi to China, which began Tuesday.
After the signing, Salman stated that the Chinese side will play the role of a real estate developer, along with Egypt’s New Urban Communities Authority and the Engineering Authority of the Armed Forces. He also praised the Chinese company for its extensive knowledge in the field, as well as the size of its projects worldwide which, he said, stood at a total of US$130 billion.
Egypt cancelled its MoU with Emirati Capital City Partners in June after disagreements emerged on financing for the new capital project.
Edited translation from Al-Masry Al-Youm
