Chinese based construction firm China Rail Group is set to construct an Olympic park in Egypt in the new administrative capital.
This comes barely a day after Egypt signed a memorandum of understanding with China Rail Group Limited in the presence of Minister for Housing, Moustafa Madbouly.
According to the minister the company is expected to start the project that is highly anticipated to be the heart of Egypt’s new capita.
Egypt plans to build an administrative capital estimated to cost $45 billion as part of President Abdel Fattah El-Sisi’s plan to boost the economy through a series of mega-projects.
The Chinese conglomerate will present its designs within 30 days of signing the MOU that stipulates that the Egyptian government contribute to 15 percent of the works.
The Olympic park in Egypt will be built on 2000 feddans and the total area for the six buildings is planned to reach 214,000 square metres.
The mega project is expected to take up to 30 months to construct and most of the projects will be carried by the Chinese companies.
According to the Egyptian president Sisi his government is aiming to complete the first phase of the administrative capital on 10,500 feddans from 170,000 feddans in a period of two years, Madbouly said in October.
The ambitious mega-project was first presented during the March economic conference in Sharm El-Sheikh and an initial agreement was signed with Mohammed Al-Abaar of Capital City Partners to lead developments.
However, as the talks stalled, Egypt signed an agreement with China State Construction Engineering Corporation to study the building and financing of the administrative area in the new city where all the ministries would be moved.
During his visit to Egypt earlier this month, Chinese President Xi Jinping signed a number of cooperation deals in the transportation, power generation, and civil aviation sectors — worth $15 billion, according to the Egyptian Minister of International Cooperation Sahar Nasr.