This bankrupt Muslim country is selling its land, signs Rs 1630155250000 deal with…, its India’s friend, name is…

Egypt has been severely affected by a severe economic crisis for several months. The government has now struck a major $18.5 billion deal with Saudi Arabia and the UAE. Egypt had also sought financial assistance from India.

Egypt Economic Crisis 

The land of the pyramids is facing a major crisis that it is now being forced to sell its land. Under the deal, companies from Saudi Arabia and the UAE will build a massive integrated tourism complex on the Red Sea coast. The agreement was signed in Egypt’s new capital in the presence of Prime Minister Mostafa Madbouly. UAE’s Emaar Properties, in partnership with Saudi Arabia’s City Star Group, will invest 900 billion Egyptian pounds in the Marassi Red Sea Project.

For over a decade, Egypt has been drowning in debt and unable to find a way out. During his visit to India, Egyptian President Abdel Fattah El-Sisi also sought financial support from the Modi government.

Egypt’s Deal With UAE And Saudi Arabia

The UAE and Saudi Arabia had previously extended loans to Egypt, but as the situation failed to improve, they began demanding land and projects in return instead of more loans. As a result, Egypt is now selling parts of its tourism, agriculture, and port sectors to these Gulf nations. The Egyptian government claims that the Red Sea project will create 170,000 jobs. The Prime Minister stated that the government is focusing on tourism and urban development.

The Egyptian government is planning to secure $42 billion in FDI from Gulf nations and is targeting to attract 30 million tourists by 2028. While the government calls it investment, many experts describe it as a desperate move.

Egypt has around $160 billion in debt, while rising violence around the Red Sea has reduced Suez Canal revenues. It was a big source of income, as Houthi rebels stepped up attacks.

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