Egypt announced on Thursday that it had signed an agreement with Russia to expand the Russian industrial zone in the country's Suez Canal Economic Zone (SCZone).
"The Russian industrial zone was originally under construction in east Port Said, but after two-day successful negotiations with the Russian side, the Russian zone will cover parts of East Port Said and Ain Sokhna," SCZone President Yehya Zaki explained in a statement.
The accord was reported to have been signed by Zaki and the Russian first deputy to the trade and industry minister, Vasily Osmakov. "The project implementation will start immediately," Zaki noted.
The statement pointed out that the expansion project would be financed by the National Development Corporation (VIPRF), the investment arm of the Russian government.
"A Russian delegation will visit the region next August to inspect the project sites," the Egyptian official added, noting that the visit would be followed by another in September by representatives of Russian companies, businesspeople and investors, who had expressed their desire to invest in the Ain Sokhna area.
"The final contract will be concluded by the end of 2021 for establishing a corporation to administer the Russian industrial zone," Zaki added.
In 2018, Cairo and Moscow signed an agreement to establish a Russian industrial zone in the SCZone, on an area of 5.25 square kilometres, with investments amounting to $6.9 billion, to be implemented in three phases over a period of 13 years.