Abu Dhabi Developer to Build 'Next Generation City' on Egypt's North Coast

Abu Dhabi's ADQ has chosen Modon Holding PSC as the chief developer for a massive city project in Ras El Hekma, Egypt, with substantial short-term investments. Key partners include Orascom Construction and Elsewedy Electric, as Modon navigates the complex landscape boosted by crisis-relieving funds.

Abu Dhabi's state-backed fund, ADQ, has designated Modon Holding PSC as the principal developer for a sprawling urban project located at Ras El Hekma on Egypt's northern coast. The announcement was made through a statement released on Friday, highlighting a strategic collaboration between the UAE entities.

The project, initially revealed in February, involves $35 billion in short-term investments, including a massive $24 billion allocated for land rights along the Mediterranean. The venture aims to inject much-needed funds into Egypt's economy, suffering from foreign currency shortages amplified by reduced Suez Canal revenue due to regional conflicts.

A framework agreement has been signed with Egypt's Orascom Construction as a primary partner for the construction phase. Additional memoranda of understanding have been confirmed with partners like Elsewedy Electric and Abu Dhabi Airports, though Egypt's Talaat Moustafa Group was not mentioned, despite prior involvement claims.

(With inputs from agencies.)