CAIRO: The Holding Company for Tourism, Hotels & Cinema (HOTAC) is scheduled to present four tourism investment projects worth 1.5 billion EGP ($197 million) during the Egypt Economic Development Conference (EEDC), Youm7 reported Friday.
”The first project encompasses the establishment of a resort in Magaweesh touristic village located in the Red Sea coastal city of Hurghada,” Chairman of HOTAC Mervat Hataba told Youm7, adding that the 1.5 billion EGP project features the renovation of current buildings and constructing new hotel apartments, a shopping mall and a recreation center.
Battered by four years of political instability, Egypt’s economy is counting on the conference to lure back foreign investment by offering various projects in all sectors for regional and international investors.
According to Hataba, the other projects to be proposed during the EEDC include the development of the Cosmopolitan Hotel in downtown Cairo with a total cost estimated at 85 million EGP along with a real estate project in Alexandria with a total cost of 58 million EGP.
According to the Ministry of Planning and International Cooperation, tourist activity comprises 11.3% of GDP.
Hataba noted that the Shepheard hotel in downtown Cairo was also going to be included among the projects presented during the conference but the HOTAC decided to finance it independently.
According to the travel and tourism competitiveness report published by the World Economic Forum in 2013, Egypt dropped 10 places in the global assessment to 85th position. This drop was mainly because of deterioration of the security environment in the country.
“The fourth project features the establishment of a sound and light show in the Red Sea city of Hurghada with a total cost estimated at 123 million EGP,” said Hataba, adding that four projects will be presented to bidders in the area of management and finance.
The feasibility studies of the four projects have been approved by the banks and are expected to bolster the tourism industry, she added.