Developing the infrastructure of the second phase of the Central Business District (CBD) at the New Administrative Capital investments will reach $3.2.bn, according to Minister Counsellor for Economic Affairs at the Chinese embassy in Cairo Han Bing.
Bing told Daily News Egypt on Tuesday, on the side-lines of Euromoney Conference 2018, that three Chinese banks will finance the project in the capital.
Notably, DNE previously reported that China Fortune Land Development (CFLD), a company specialised in the field of constructing new cities and real estate development, finalised an agreement with the New Urban Community Authority (NUCA) to develop the infrastructure of the second phase of the CBD in the administrative capital.
Bing noted that developing the infrastructure on an area of 63 sqkm in the New Administrative Capital, whereby the area that will be developed includes industrial zones, residential, commercial, and entertainment areas.
Meanwhile, the Chinese companies in cooperation with the Administrative Capital for Urban Development signed an agreement with an Egyptian petrochemical refinery company to launch businesses with investments worth $6bn, Bing added.
President Abdel Fattah Al Sisi’s current visit to China is considered a very big push for the development of economic cooperation between both countries, said Bing.
The presidential visit is very fruitful as Al Sisi did not only attend the Forum on China–Africa Cooperation (FOCAC) summit 2018, but he also paid China a state official visit, during which many important memorandums of understandings were signed.
“Furthermore, on the side-lines of President Abdel Fattah El-Sisi’s visit to China recently, the two parties signed an agreement to launch a Chinese textile city in the Suez Canal Economic Zone among other Chinese projects in the zone with total investments of $1.1bn,” Bing noted, adding that the project will be implemented soon.
He explained that there is no progress regarding the Chinese textile zone in Sadat city.
Sino-Egypt Minkai company has already agreed with the Industrial Development Authority to develop an industrial zone in Sadat City for the textile industry. The company will pay the first instalment of 5% of the land in the first quarter of 2018 and following that, the company will begin construction.
DNE reported on Monday that three Chinese banks, which are China Development Bank (CDB), the Industrial and Commercial Bank of China, and China’s EXIM Bank are considering more than $2bn syndicated loans for the New Administrative Capital, according to Bian Shiyuan, the chief representative at the CDB Cairo Office.
“If everything goes well, I hope the financing agreement can be signed later this year,” said Shiyuan, adding that Chinese banks are convinced that the New Administrative Capital will be a great success and the total amount of finance will be equally shared by the three Chinese banks.