AFRICA NEWS - 10/05/2016
A major Chinese construction firm has sealed a deal with Egypt to
partly sponsor an ambitious plan to build a new administrative and
business capital for the north African country.
The project would make president Abdel Fattah Al-Sisi’s announcement
in March 2015 more practical, giving that the Chinese state-owned
company will support the project with $15 billion in loans, grants and
memorandums of understanding, Chinese news agency Xinhua reports.
The $45 billion project would be constructed on 700 square kilometers of desert land.
The alliance was announced in January between Egyptian authorities
and China State Construction Engineering Corporation. Neither side has
however announced details of the agreement.
According to the Minister of Housing, Mostafa Madbouly, Egypt had
launched the first phase of construction of its new capital east of
Cairo in April.