The latest money comes from a US$2bn fund provided by China and managed by the AfDB to co-finance bank operations. AfDB president Akinwumi Adesina said: “This loan marks the beginning of new efforts by the Bank to support the development of transport infrastructure in Egypt. The Bank stands ready to continue to support the Government of Egypt in its efforts to reform and significantly increase infrastructure investment,” he said.
Deputy governor of the People’s Bank of China Yi Gang expressed confidence that “the Fund will continue to invest in excellent projects such as this project. In the end, the bottom line is for African countries growing together.”
The Sharm El-Sheikh Airport expansion project, whose total cost is estimated at US$671m, entails the development of a new terminal building and construction of a new runway and new control tower with associated airfield works as well as installation of electrical and navigational equipment. When completed, the project will increase the passenger-handling capacity from 10 million to 18 million passengers per annum. The project will remove a bottleneck in the movement of travellers, including tourists into and out of Sharm El-Sheikh city.
The new loan follows one in April for US$140m (link opens in new tab).