Egypt secures funds for $2bn Alexandria metro project

Construction of the Alexandria metro project in Egypt is set to begin after President Abdel-Fattah El-Sisi approved an agreement with the French Development Agency (AFD) for a €250 million ($276.50 million) loan.

The project is a joint initiative with the Asian Infrastructure Investment Bank and the European Bank for Reconstruction and Development (EBRD), the Egypt Today newspaper reported.

The project’s total cost is estimated at €1.8 billion ($2 billion).

The AFD will provide a €250 million soft sovereign loan for works contracts and the acquisition of railway vehicles. 

Additional funding of €250 million will be provided by EBRD, with the European Investment Bank offering €750 million, Asian Infrastructure Investment Bank (€250 million) and the Egyptian government (€264 million).

The project will be managed by state-owned National Authority for Tunnels, which is responsible for implementing metro projects in Egypt.

The Alexandria Passenger Transport Authority, responsible for managing transportation in Alexandria, will be responsible for managing traffic throughout the works.

The operation and maintenance of the line will be allocated to the operator, who will be selected through the tender process, the news report said.