The Sharm El Sheikh Airport upgrade project in Egypt continues to evolve in 2026 as authorities push forward with phased expansion works aimed at increasing capacity, improving passenger handling, and modernizing airside infrastructure at one of the country’s key tourism gateways. Initially designed to expand annual throughput significantly beyond earlier levels of around 9–10 million passengers, the project remains central to Egypt’s broader aviation modernization program. In addition, recent national reviews of airport infrastructure indicate continued prioritization of upgrades across key tourist hubs, including Sharm El Sheikh, as part of a coordinated national strategy to strengthen aviation efficiency and resilience.

The upgrade effort is closely tied to Egypt’s wider airport development roadmap, which includes parallel investments at Cairo, Hurghada, and other regional airports. Furthermore, the Sharm El Sheikh facility is being positioned as a high-capacity tourism gateway, with terminal expansion and supporting infrastructure improvements forming the core of its long-term development vision.

The ongoing works also support the country’s ambition to accommodate rising passenger traffic driven by tourism recovery and increasing regional connectivity demand. However, implementation has progressed in stages, reflecting operational constraints and phased construction sequencing within an active airport environment.

Sharm El Sheikh Airport Upgrade Project capacity expansion strategy

The Sharm El Sheikh Airport upgrade project Egypt focuses on expanding terminal capacity, enhancing runway operations, and upgrading airfield systems to support higher aircraft movement rates. Originally, development plans included a new terminal, additional runway infrastructure, taxiways, and supporting facilities such as utilities and security systems. These components were designed to eliminate operational bottlenecks and improve overall airport efficiency.

Additionally, the expansion programme aimed to increase passenger handling capacity by several million annually, strengthening the airport’s role as a key entry point for Red Sea tourism. The upgraded infrastructure is also expected to improve aircraft turnaround times and reduce congestion during peak travel periods.

Moreover, the project aligns with Egypt’s long-term aviation strategy, which integrates airport modernisation with tourism development and private sector participation frameworks introduced in recent years.

Sharm El Sheikh Airport Upgrade Project current status 2026

As of 2026, the Sharm El Sheikh Airport upgrade project is not in a single final completion phase but instead continues through incremental improvements and operational enhancements. Authorities have already delivered partial upgrades, including terminal capacity adjustments and infrastructure enhancements carried out in preparation for major international events hosted in the region.

Meanwhile, national aviation leadership has intensified focus on upgrading airport performance standards, with ongoing reviews aimed at aligning Egyptian airports with international benchmarks. These efforts include efficiency improvements, passenger flow optimization, and expanded service capabilities across multiple airports, including Sharm El Sheikh.

Furthermore, the airport continues to operate as a high-demand tourism hub, supporting strong seasonal traffic and increased flight frequencies from international carriers. However, additional expansion phases are still expected to be implemented to fully realize long-term capacity targets.

The Sharm El Sheikh Airport upgrade project forms part of a wider national aviation expansion program that includes major investments  such as $4 billion upgrade at Cairo International Airport.  The Cairo airport expansion project is currently undergoing a massive upgrade aimed at doubling capacity from 30 million to 60 million passengers annually, reinforcing Egypt’s position as a regional aviation hub.

This interconnected development strategy ensures that both Cairo and Sharm El Sheikh function as complementary gateways, supporting tourism growth, international connectivity, and long-term transport infrastructure resilience.

Development of the third terminal at Sharm El Sheikh Airport

The third terminal was announced back in 2008 by the Egyptian Airports Holding Company (EAHC). In July 2009 the Egyptian Holding Company for Airports and Air Navigation (EHCAAN) signed a design contract for the project. The contract was signed with Spanish construction designer Pointec.

The design phase was completed by early 2010 following which International contractors were invited for an open tender to carry out the project. The project would not only include the construction of the terminal but also a runway adjacent to the el Salam road. Taxiways and aprons were also set to be constructed as part of this project in addition to other associated infrastructure.

These infrastructures include an electrical or mechanical plant, sheds for security services, a mosque, a car parking area, and a wastewater treatment facility. The implementation of the project was scheduled to be completed by 2015 at an estimated cost of $420 million.

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Reported on February 2015

AFDB to fund construction of Egyptian Airport

The Sharm El-Sheikh International airport has received US$140 million from the African Development Bank (AFDB) to facilitate its expansion project. The expansion involves constructing a new terminal (terminal 3) and a runway in order to increase the passenger handling capacity by 10 to 18 million per year.

AFDB has pledged to continue supporting the Egyptian government through increased lending which will finance the irrigation and energy sectors and small and medium enterprises (SMEs). AFDB has approved over 4,501 projects amounting to $118.7 billion from 1967 when it commenced its operations by the end of 2013.

In addition, Islamic Development Bank (IDB) last year October announced it would contribute US$230.2m for the same project.

Project Fact Sheet

Project Name: Sharm El Sheikh Airport Upgrade Project

Location: Sharm El Sheikh, South Sinai, Egypt

Sector: Aviation / Transport Infrastructure

Project Type: Airport expansion and modernization

Original Scope Includes:

• New passenger terminal development
• Runway expansion and enhancement
• Taxiway and apron construction
• Electrical and mechanical infrastructure upgrades
• Security and support facilities
• Airport capacity expansion program

Initial Capacity Target: Increase to approximately 18 million passengers annually (phased targets)

Strategic Objectives:

• Reduce congestion and operational bottlenecks
• Support tourism growth in Red Sea region
• Improve international airport standards compliance
• Enhance aircraft handling efficiency
• Strengthen regional connectivity

Project Status (2026):

• Partially completed infrastructure upgrades
• Ongoing phased development and optimization works
• Continued integration into national aviation modernization plan

Project Team

Owner: Egyptian Holding Company for Airports and Air Navigation (EHCAAN)

Oversight Authority: Ministry of Civil Aviation, Egypt

Airport Operator: Sharm El Sheikh International Airport Management

Engineering & Design Consultants:

• International aviation infrastructure consultants (multi-phase tender-based appointments)
• Spanish design consultancy (early design phase involvement)

Main Contractors: Multi-national construction firms appointed through competitive tendering (varies by phase)

Funding Partners (Historical/Development Phase):

• African Development Bank (AfDB)
• Islamic Development Bank (IDB)

Stakeholders:

• Egyptian Airports Company
• Tourism and aviation service operators
• International airlines serving Sharm El Sheikh
• Egyptian Ministry of Tourism and Antiquities

Key End Users:

• International tourists
• Airlines and cargo operators
• Egyptian aviation and tourism economy