Egypt’s tourism revenues were between 3.5 billion dollars to 4 billion dollars during the first half of 2021 and the country received about 3.5 million tourists from January to June, Ghada Shalaby, the Egypt’s Deputy Minister of Tourism, told Reuters.
The African Development Bank’s Board of Directors has approved $27.2 million in loan financing for the design, construction and operation of a 200 MW photovoltaic solar power plant at Kom Ombo in Upper Egypt on the river Nile.
The project is expected to lower electricity costs for businesses and residences, as well as reducing greenhouse gas emissions and creating construction and other jobs.
The project’s total cost is estimated at $156.4 million. In addition to the Bank’s financing, structured as a senior loan, the European Bank for Reconstruction and Development, the Green Climate Fund (GCF), Arab Bank and the OPEC Fund for International Development will contribute funding.
The plant, 800 km south of Cairo, is owned by ACWA Power, a leading Saudi Arabian developer, investor and operator of power generation and desalinated-water plants worldwide.
“We are delighted to support this project that will deliver one of the lowest generation tariffs on the continent,” said Kevin Kariuki, the Bank’s Vice President for, Power, Energy, Climate and Green Growth.
He added that “the project supports Egypt’s energy transition and contributes towards the country’s achievement of its targeted 20% share of renewables by 2022.”
Egypt’s economy has continued to grow during the COVID-19 pandemic, and its electricity demands are increasing at an average annual rate of 7%.
By increasing Egypt’s installed power generation capacity from renewable sources, the plant is forecast to reduce greenhouse gas emissions more than 7 million tCO2e equivalent over a 25-year period. During the construction phase, 800 jobs will be created.
Egypt’s electricity grid is linked to those of neighbors Libya and Sudan, and the plant has the potential to greatly contribute to energy trading and electricity access in the region.
The project aligns with Egypt’s national Integrated Sustainable Energy Strategy and the Bank’s New Deal on Energy for Africa, which aims to increase the share of renewable energy through innovative financing in Africa’s energy sector.
The project also advances the institution’s Light Up and Power Africa High-5 strategic priority.
The Bank’s Deputy Director General for North Africa, Malinne Blomberg said that “the newly approved transaction is a continuation of the Bank’s long-standing partnership with the Government of Egypt and its strong support for the country’s reform agenda.”
Egypt, as a country with a growing population and economy, needs urgent investment in its infrastructure capacity to alleviate the pressure on existing ports, shipment points and trade centres, the European Bank for Reconstruction and Development (EBRD) said on Wednesday.
It also announced its support for the construction of dry port and logistics centre in the North African country.
According to the Bank, new facilities are required to reduce congestion, allow for a better distribution of goods and let trade flow freely in Egypt.
A key element in this chain are dry ports, inland intermodal terminals directly connected by road or rail to a seaport, operating as centres for the shipment of sea cargo to inland destinations.
Egypt’s latest transport master plan calls for the development of nine dry port and logistics centres throughout the country under public-private partnership (PPP) structures.
In a first step, the EBRD is supporting the construction of a dry port and logistics centre in 10th of Ramadan City, with a 1 million-euro contribution to project preparation and procurement. The city was founded in the 1970s in close vicinity to the capital Cairo and is one of the most industrialised municipalities in the country.
The new dry port is expected to improve the efficiency of Egypt’s transport infrastructure by reducing congestion at seaports and creating the conditions for accelerated customs processes and procedures. Facilitating trade will contribute to an increase in the competitiveness of local producers, which will help accelerate sustainable economic growth and create employment opportunities.
The project is part of Egypt’s transport master plan, which recommends the development of an intermodal corridor extending from Alexandria on the Mediterranean coast to El Sokhna on the Red Sea coast.
Infrastructure development is one of the strategic priorities of the EBRD and one of the pillars of the Bank’s business activities.
“We are very proud to support the preparation of sustainable infrastructure in Egypt to be implemented and financed by the private sector. The dry port in 10th of Ramadan City is the second in Egypt to receive funds from the Bank’s Infrastructure Project Preparation Facility which demonstrates our commitment to this approach,” said Heike Harmgart, EBRD Managing Director for the southern and eastern Mediterranean region.
Prime Minister Mostafa Madbouly of Egypt in a speech at the country’s lower house on Monday said the nation plans to stop relying on imported oil by 2023.
In September, the country’s petroleum minister, Tarek El Molla, said that in 2020, Egypt had imported just 3.5 million tonnes of gasoline for $1.5 billion, compared to 10 million tonnes in 2016.
“By 2023, God willing, Egypt will reach total petroleum self-sufficiency. We will not be importing petroleum products produced in other countries,” Madbouly said.
The prime minister added that in 2020 the country had signed 26 geological survey contracts with combined investments of almost $11 billion.
“We have reached a total gas self-sufficiency and meet the local market’s demands in various areas,” the official stressed, adding that the gas production had increased by 28 per cent.
According to Madbouly, the government has also managed to fully implement its economic reforms package and lowered the budget deficit from 10 to 7.9 per cent.
The European Bank for Reconstruction and Development (EBRD) is breaking fresh ground with a US$ 12 million loan to Al Dau Al Haram for Hotel Operations for the regeneration of a brownfield site into a Hyatt Regency hotel, to promote the introduction of green technology, and youth and women inclusion in Egypt..
The proposed hotel will nest under the wings of the Grand Egyptian Museum and Great Giza Pyramids and serve this new cultural hub of Cairo, allowing local and international tourists to experience world heritage sites representing 4,000 years of Egyptian history, the EBRD said in a press release on Wednesday.
“The development of this hotel will address significant inclusion gaps in Egypt, in relation to youth unemployment and skills mismatch. It is expected that more than 300 jobs will be directly generated and viable progression routes from training into employment will be created for at least 250 young people,” it said.
According to the statement, the project will include a high-quality training programme, funded by the Swiss State Secretariat for Economic Affairs (SECO), and work-based learning opportunities in hospitality and tourism for young people, promoting in particular women’s participation.
The Bank will also promote advanced environmental sustainability practices in the Egyptian hospitality sector through the installation of resource efficient technologies at the hotel. The EBRD and Al Dau Al Haram are assessing further innovative climate-change-related technologies with low market penetration in Egypt that would be eligible for support by the Finance and Technology Transfer Centre for Climate Change programme (FINTECC).
Al Dau Al Haram for Hotels Operations SAE is a company established in Egypt to develop and operate the planned 249-room Hyatt Regency hotel within the Pyramids Heights Business Park in West Cairo. The company is part of the Al Dau Development group of companies active in the hospitality sector in Egypt and UK.