Mohieldin Surveys Progress of Assiut Road Developments

The Minister of Investment, Dr. Mahmoud Mohieldin, was updated on the progress of the works currently underway on the new Assiut Road by Hassan Allam Co. officials, as he surveyed the project accompanied by Assiut Governor, Nabil El-Ezabi.

The 114 km-long road, part of the Upper Egypt-Red Sea Road, should be ready for inauguration by mid-April as its developer reports that 99 percent of works were completed.

Dr. Mohieldin stated that, "The Upper Egypt-Red Sea Road is especially important in providing several investment projects across the area. This will create thousands of job opportunities for Upper Egyptians."

Such potential projects are in industry, agriculture, urban development and dry ports.

According to the minister, the Assiut Road will help revive the industrial zones in Upper Egypt, particularly in Assiut, Sohag and Qena, by linking them to the Red Sea ports.

Dr. Mohieldin pledged for more developments in the Red Sea ports - Safaga in particular - thus rejuvenating trade and investment opportunitieis in Upper Egypt.

Dr. Mohieldin reported, "The container handling project in Safaga will be carried out by container handling companies affiliated to the Ministry of Investment, in collaboration with some State-owned companies".

The minister also unveiled a megaproject to be launched in association with several Arab and foreign investors in the field of solar energy.

Further consultations on that project are scheduled with the Ministry of Electricity and Energy. Its investments are yet to be announced.

Dr. Mohieldin emphasized the importance of supplying the whole Upper Egypt-Red Sea Road (especially in Sohag, Assiut and Qena) with traffic, healthcare, communication and road safety services.

The minister also surveyed the progress of other investment projects in Assiut, which have received both private and public contributions.

Dr. Mohieldin continued that "More companies have recently been founded in Upper Egypt governorates, including Assiut, thanks to the infrastructure projects involving roads, ports, airports and natural gas. These projects have contributed to creating a great investment-attractive environment".

966 companies have been founded in Assiut since 1970, of which 287 companies, alone, have been established between July 2004 and December 2009. This accounts for 30 percent of total businesses in the governorate.

"In addition to the current major infrastructure projects in Upper Egypt, the Ministry of Investment is working to promote these projects, especially labor-intensive ones, in order to attract investment to Upper Egypt," Dr. Mohieldin said.

"The ministry also promotes projects in Upper Egypt in partnership with Egyptian, Arab and foreign investments. Moreover, other projects will be implemented by state-owned companies and contributed to by Upper Egypt-Red Sea Co.," he added

In this context, Upper Egypt-Red Sea Company's officials reviewed the most important projects being carried out in Assiut, such as the floating hotel project and the establishment of a financial lease company whose lending to small investors hit about EGP 42 million.

Furthermore, an education service company is establishing a school in Assiut on an area 12,000 square meters. Another project for storage and transport of chilled and dry products is being carried out.

In the context of ongoing service and investment projects in Assiut, Dr. Mohieldin inspected the new consumer cooperatives being established in the governorate.

Four consumer cooperatives have been already developed and other five are being established in Abanoub, el-Ghanayem, Abutej, Sadfa and Dairout districts.

This is a part of the Ministry of Investment's plan to establish consumer cooperatives in all towns and cities to ensure that limited-income citizens will get high-quality goods at affordable prices.

Minister Mohieldin also inspected the construction of 3,000 residential units in Assiut, funded by Mortgage Finance Support and Guarantee Fund under the national program for housing.

He also inspected the execution of Abutej Bridge, Sahel Selim district which is planned to start before the end of the current fiscal year.