EGYPT SIGNED US$4.7M DEAL WITH UAE’s AD PORT FOR DEVELOPMENT OF CRUISE TERMINAL

Egypt has entered into a series of agreements with the UAE’s AD Ports Group to develop and manage cruise terminals in Safaga, Hurghada, and Sharm El Sheikh, aiming to boost the nation’s cruise tourism sector. AD Ports Group will invest $4.7 million over the next 15 years in these terminals, which are expected to be operational by 2025.

This investment will enhance the management, services, and accessibility of the terminals, adding new itineraries within the Red Sea cruise network.

The agreements were signed in Cairo, witnessed by Egypt’s Prime Minister Mostafa Madbouly, the Minister of Transport Kamel El Wazir, and other dignitaries. Additionally, AD Ports Group initiated two 30-year concession agreements with the General Authority of the Suez Canal Economic Zone (SCZONE) for developing and managing a Ro-Ro terminal and a cruise terminal at Sokhna Port.

Minister El Wazir emphasized that these partnerships are not sales of port assets and highlighted the government’s efforts to promote yacht tourism. Nearly all the workforce at these terminals will be Egyptian. Mohamed Juma Al Shamisi, Managing Director and Group CEO of AD Ports Group, reiterated the commitment to enhancing the Red Sea’s cruise tourism sector, while strengthening UAE-Egypt ties.

These agreements build on a previous deal from December 2023 for a multi-purpose terminal at Safaga Port, with a $200 million investment over three years. The Minister of Transport outlined plans to increase cruise passenger capacity to 7.5 million annually and highlighted potential revenue from direct ship fees and indirect spending by transit passengers.

Ahmed Al Mutawa, Regional CEO of AD Ports Group, stressed the company’s commitment to providing top-tier facilities and services, aligning with the strategic objectives of both nations. He highlighted Sokhna Port’s strategic location and the eagerness to collaborate with SCZONE to meet regional cruise and Ro-Ro service needs.

 

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