DP World and the Suez Canal Economic Zone Authority (SCZone) have agreed to develop an integrated industrial and residential zone in Sokhna, Egypt.
SCZone will have a 51% share in the joint venture, with DP World holding the remaining stake and also managing the zone.
The zone is projected to start in the first quarter of 2018, and will feature free zones, ports and logistic hubs in an effort to lure in foreign investment.
Admiral Mohab Mamish, chairman of both the SCZone and the Suez Canal Authority, said: “Today’s signing concludes months of work of the joint committee that has been working closely with the leadership of both countries and consultants to make this happen.”
As well as hoping to attract foreign investment, the project will also promote the development of small and medium sized enterprises (SMEs), create job opportunities and provide training for young Egyptians.
In total the project is expected to create more than 400,000 jobs, covering an area of 95 km.
This area includes the development of Sokhna Port to increase its capacity and link it to the economic zone.
The industries targeted for development include medical, electronics and communications, construction materials, logistics, textiles, automotive parts, food processing, energy production components and petrochemicals.
The residential area will house around 500,000 people over a space of 20 km, and will include coastal villas, shopping centres and green spaces.