Egypt: major company to invest $21bn in north coast development

A major Egyptian company is to invest $21 billion in the development of the country’s north coast, Reuters has reported. Talaat Moustafa Group (TMG) is investing in the SouthMED tourism development project on Egypt’s Mediterranean coast, its chief executive said today.

The SouthMED development covers 23 million square metres of land on the coast to the west of Alexandria. It is expected to generate sales of about $35bn, explained CEO Hisham Talaat Moustafa. Sales had already reached about 60bn Egyptian pounds ($1.25bn) since Monday, he added.

SouthMED is a “fully integrated development” that includes luxury villas, a marina, shops, restaurants, golf courses and other facilities and services, according to the TMG website.

The announcement comes after Egypt received a windfall of investment and financing earlier this year which eased a shortage of foreign currency that had crippled the economy. The largest influx of funds came from a deal with Abu Dhabi sovereign fund ADQ, which agreed to pay $24bn for the rights to develop a new city at Ras El Hekma, also on the north coast.

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