The ambitious plans aim to boost tourism
Egypt is developing ambitious plans for downtown Cairo and Ministries Square, including the creation of 2,600 hotel rooms, the development of 15,000 square meters of green spaces, and the restoration of historical buildings. This was revealed by Ayman Soliman, CEO of the Sovereign Fund of Egypt (SFE).
In a meeting with the parliamentary Planning and Budget Committee, Soliman highlighted SFE’s role as the investment and development arm of the state since its establishment in 2018. He emphasized the significance of hotel accommodations for Egypt’s tourism sector.
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Egypt aims to double its annual tourist influx to 30 million by 2028, recognizing the vital role of tourism in boosting foreign currency. Currently, the country has 216,000 hotel rooms capable of hosting 15 to 16 million tourists, with plans to double this capacity.
Minister of Tourism Ahmed Issa stressed the need for increased hotel capacity, affordable air travel, and diversified tourist offerings to achieve the tourism target. In 2022, Egypt received 11.7 million tourists, a 46.2% increase from 2021, with expectations to reach 15 million in 2023.
Soliman reported the transfer of seven assets to the SFE and preparations for the transfer of over 16 other assets in downtown Cairo. Plans are underway to repurpose the former Ministry of Interior headquarters into a multi-purpose destination, including a tech and business hub, a French university, serviced apartments, and a hotel.
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The SFE signed a deal in December 2021 to upgrade the Mugamma Al-Tahrir, investing over LE3.5 billion with a US consortium. The consortium plans to transform the Mugamma into a luxury hotel with a $200 million investment by August 2022.
As of July 2023, SFE’s assets had reached $12 billion. The prime minister’s decision to close the former ministries headquarters in Cairo aims to facilitate the repurposing of state-owned assets and limit activities to security and maintenance work.
