The new administrative capital is one of several mega-projects launched by Abdel Fattah Al-Sisi since he became president in 2014 in an effort to reboot the economy and leave his mark on the most-populous Arab nation، Bloomberg reported.
Bloomberg highlights the project proposed by China Fortune Land Development Co، to develop 15،000 acres over 25 years in the administrative capital under construction to the east of Cairo، noting that Egyptian officials said they were studying the offer، which would amount to one of the biggest foreign investments Egypt in recent years.
“All I can say is that we are in the last stage of negotiations and hoping that this will be settled soon،” Allen Ma، president of CFLD Egypt، told Bloomberg. He declined to elaborate، saying the negotiations were confidential.
The three-phase new administrative capital project envisages transforming a 700 square kilometer swath of desert into a modern hub for government buildings، foreign embassies and major companies، easing pressure on traffic-choked Cairo، the sprawling 1،000-year-old city that is home to 23 million people. The first phase is due to be completed by mid-2019.
Egypt’s housing ministry confirmed they had received CFLD’s latest offer as did the Administrative Capital for Urban Development (ACUD)، a joint venture between the military and the housing ministry which was created to oversee the city’s construction. They declined to comment on the details، citing confidentiality.
CFLD began talks with the Egyptian government in June 2016 and signed a memorandum of understanding in October that year agreeing to plan، develop، manage and market a section of the new city.
A copy of the proposal obtained by Bloomberg shows that CFLD commits to bringing in FDI worth $2 billion in the first five years. After 25 years، CFLD will hand the whole area to ACUD. The project is expected to create 230،000 jobs over its lifetime، the document shows.