Khaberni - Diar Qatari Company intends to sign a partnership agreement with the New Urban Communities Authority in Egypt to invest 29.7 billion dollars in developing a tourism project on the north coast of the country, enhancing the attractiveness of the area that is witnessing a Gulf investment interest, according to Reuters.
The agreement includes the Qatari company paying $3.5 billion for the land located in the Al-Alam Al-Rom area, and a tangible investment of 26.2 billion dollars to build the project which will cover an area of 4900 acres along 7.2 kilometers of the coast. Diar Qatari is owned by Qatar’s sovereign wealth fund, the Qatar Investment Authority.
Earlier in October last year, Asharq reported that Qatar agreed to buy 5000 acres in the "Alam al-Rom" area on the North Coast of Egypt for up to four billion dollars to establish a comprehensive tourism project, according to a government official who spoke to Asharq on condition of anonymity.
"Al-Alam Al-Rom", named for the presence of an ancient Roman fortress, is located east of Marsa Matrouh city and is a favored destination for fishing enthusiasts and family tourism due to the tranquility of its beaches and the beauty of its nature.
The Project Comes About a Year After the "Ras al-Hikma" Investment
This comes after Egypt and the UAE launched the Ras al-Hikma project on the North Coast last year with investments estimated at $35 billion, under an investment agreement between the two countries, where the UAE’s "ADQ Holding" acquired the development rights in exchange for $24 billion allocated for development, with the Egyptian government retaining a 35% stake in the project and its revenues. The Alam al-Rom area is about 50 kilometers away from the "Ras al-Hikma" city.
The Egyptian real estate market is experiencing increasing momentum with the inflow of Gulf capital, where a report issued by "Knight Frank" consulting firm stated that wealthy Gulf nationals plan to invest $1.1 billion in buying a second home in Egypt during 2025, with Emiratis and Saudis leading the list.
Saudi Interest in the Red Sea
At the same time, the Saudi-based "Ajlan & Bros. Holding Group" is looking to inject initial investments worth $1.5 billion to establish tourism projects in the "Ras Jameela" area overlooking the Red Sea coast in Egypt, according to an insider familiar with the matter who spoke with Asharq, requesting anonymity in April last year.
Egypt has also begun setting an investment plan for the "Ras Banas" area on the Red Sea with the aim of offering it to private sector companies for development, similar to the "Ras al-Hikma" project, according to the Minister of Housing, Sherif El Sherbiny.
"Ras Banas" is described as one of the world's largest assemblies of pristine coral reefs. The peninsula extends 50 kilometers into the waters of the Red Sea and includes the ancient Berenice port.
This project comes as the Egyptian government intensifies efforts to attract foreign investments as part of its strategy to bridge the financing gap in its budget, reduce foreign debt, and enhance the role of the private sector, in line with the economic reform program agreed upon with the International Monetary Fund.
Egypt aims to attract direct foreign investments worth $42 billion during the fiscal year 2025-2026, which began in early July last year.
