Chairman of the National Authority for Tunnels Ahmed Fouda and EXIM Deputy Vice-President Xie Ping sign $1.2 billion agreement to fund electric train connecting Salam City and the New Administrative Capital in Cairo, Egypt. January 16, 2019. Press Photo
CAIRO - 16 January 2019: Exim Bank of China will provide Egypt with a soft loan worth $1.2 billion to finance all costs of the construction of the electric train connecting Salam City and the New Administrative Capital.
The agreement was signed by Chairman of the National Authority for Tunnels Ahmed Fouda and EXIM Deputy Vice-President Xie Ping on Wednesday, January 16 in the presence of Prime Minister Mostafa Madbouly, Minister of Transportation Hesham Arafat, and Minister of Investment and International Cooperation Sahar Nasr.
The loan is divided as follows: $739 million in an interest rate of 1.8 percent, and $461 million with an interest rate of 2 percent to be paid back over 15 years, and with a grace period of 5 years. The initial agreement was signed in September.
The line will consist of 11 stations located in the cities of Salam, Obour, Shorouk, Mostaqbal, Robeiky, and the New Administrative Capital, stretching over 67.8 kilometers. Some 7.5 kilometers will be in the form of a bridge, while 0.3 kilometers will be in the form of a tunnel. The speed of the train will be 120 km/h.
The line will start from Adly Mansour Station that is reached by the third metro line, and at Robeiky will be divided into two branches. One will head north in parallel to the Regional Ring Road to the 10th of Ramadan City and the other will head South to the New Administrative Capital.
The line will be operated within two years, and will be executed by five Egyptian companies along with the railroads and the fence.
The Aviation Industry Corporation of China (AVIC) will accomplish the signaling, communication, control, and electricity systems afterwards. It will also manufacture and supply 22 trains.
In the second phase, the line will extend to the Sports City near Al-Ain Al-Sokhna so that its length will be 93 kilometers.
Chinese companies are assuming construction works of the business district in the New Administrative Capital.
Additional contribution by Noha El Tawil