The Tourism Development Authority (TDA) has received approvals from the Egyptian Ministry of Defence, allowing Qatari Diar (QD) to implement its tourism project.
Companies investing in tourism related projects need to acquire the approval of the Ministry of Defence.
Head of the TDA Serag El-Din Saad told Aswat Masriya that the project will include hotels and shopping malls.
The company stated that the project features residential components, including villas, townhouses and apartments.
Currently, QD has two major projects in Egypt. One of them extends along the Nile Corniche, and the other is a big hotel in Sharm El-Sheikh.
Prior to the passing of the law 350 in 2007, which allowed the companies to use land only on usufruct bases, QD won a bid for a piece of Sinai Peninsula land sold by the government-owned Zahra Company. The law was later retrospectively applied on the company, however.
In 2012, QD announced the launch of a major touristic project in North and South Sinai. During Mohamed Morsi’s time in office, the Egyptian cabinet approved QD’s offer to build a tourist resort in Sharm El-Sheikh with a total area of 43,000 sqm.
The project cost was $2.16 for each metre and the company has paid $49.125m as a first batch. The cost of the first phase of QD’s project was estimated at EGP 16bn, according to previous statements by the Ministry of Tourism.
In 2014, the Egyptian cabinet accused QD of irregularities in the payment of the EGP 16bn for the first phase of the Sinai project, and formed an investment dispute settlement committee to investigate the situation.