An Egyptian-Chinese alliance has broken ground on Egypt’s new administrative capital which is estimated to cost $45bn.
Minister of Housing Mostafa Madbouly said that four companies are involved in the implementation of the first phase of the project, including Arab Contractors, the Petroleum Projects and Technical Consultations Company, and the China State Construction Engineering Corporation.
The as-yet unnamed capital will be located along the highway over an area of 700 sq km on Suez Canal-Cairo-Ain Sokhna road connecting Cairo to the Red Sea, and providing links to significant shipping routes. The city is being built primarily to transfer ministries, government buildings and foreign embassies from down-town Cairo to the new capital.
Between five to seven million people are expected to establish residence in the new city. The alliance will construct the new cabinet’s building along with 12 other ministerial buildings, starting with the Ministry of Housing.
The alliance will also build a new convention centre, a fairground, and 15,000 residential units for low- and middle-income citizens. The city is also slated to have 663 hospitals and clinics, 1,250 mosques and an airport.
Construction of the new capital is scheduled to be completed within 12 years. Up to 1.5m new jobs opportunities will be created in the first phase of construction of the new city.
New Urban Communities Authority (NUCA) will initially finance the project with an investment of EGP5bn (about $563.3m).