Qatari Diar to resume Egypt CityGate project after a four-year pause

Qatari Diar to resume Egypt CityGate project after a four-year pause
Buildings are seen on a coast line in Doha, Qatar, June 15, 2017. (REUTERS)
Short Url
Updated 12 January 2021

Qatari Diar to resume Egypt CityGate project after a four-year pause

Qatari Diar to resume Egypt CityGate project after a four-year pause
  • Qatari Diar owns several projects in Egypt, most notably in New Cairo, the resort of Sharm El-Sheikh and in Hurghada

CAIRO: Nearly a week after the Gulf reconciliation with Qatar, the New Urban Communities Authority (NUCA) agreed work could resume on the CityGate project in New Cairo, owned by the Qatari real estate company Qatari Diar, after a four-year pause.

According to Egyptian newspaper Al-Shorouk, the company has obtained approval from the authority to work on the CityGate project, which has been suspended since 2016 due to a dispute between it and NUCA.

East Gate, owner of the development and a Qatari Diar subsidiary, has had its request for a license to resume working on the project approved by the authority, following a court ruling that NUCA was not entitled to ask for fees of EGP 1.379 billion ($88.11 million).

The Qatari company is currently communicating with local contractors in preparation for the resumption of construction work.

Officials said “the first phase of the project will encompass investments worth EGP 1 billion.”

Qatari Diar owns several projects in Egypt, most notably in New Cairo, the resort of Sharm El-Sheikh and in Hurghada.

BACKGROUND

Qatari Diar owns several projects in Egypt, most notably in New Cairo, the resort of Sharm El-Sheikh and in Hurghada.

The Qatari finance minister visited Cairo last Tuesday to participate in the inauguration of the St. Regis Hotels on the Nile Corniche, which has investments of $1.3 billion, and is also owned by Qatari Diar.

According to local media, the construction work of the project amounted to $520 million.

Egypt is a signatory of the AlUla Summit agreement on the statement of Arab reconciliation, and the Egyptian Foreign Ministry said that this “comes within the framework of Egypt’s keenness on solidarity between the Arab Quartet countries.”


IMF: Iraq has requested emergency assistance

IMF: Iraq has requested emergency assistance
Updated 5 min 32 sec ago

IMF: Iraq has requested emergency assistance

IMF: Iraq has requested emergency assistance
Iraq has requested emergency assistance from the International Monetary Fund and talks are ongoing between the parties, the IMF said late on Sunday.
Iraqi Finance Minister Ali Allawi told Bloomberg News earlier that Iraq was in talks with the IMF for a $6 billion loan package.
“The Iraqi authorities have requested emergency assistance from the IMF under the Rapid Financing Instrument, and indicated their intention to also request a longer-term arrangement with the Fund in support of planned economic reforms,” an IMF representative said in an emailed statement.
“Discussions of the authorities’ request for emergency assistance are ongoing.”
The IMF’s Rapid Financing Instrument provides quick financial assistance, which is available to all member countries facing an urgent balance-of-payments need.
Financial assistance under the RFI is provided without the need for a full-fledged program or review, according to the IMF website https://bit.ly/3c6YubX.
Iraq may ask for an additional $4 billion in low-cost loans through another program linked to government reforms, Allawi said on Sunday.
Iraq devalued the dinar last month after a collapse in global oil prices, a major source of Iraq’s financial resources.
Allawi told Bloomberg https://bloom.bg/3peGG2h that Iraq also planned other types of funding to help plug the budget gap. Once the spending plan was approved, the government would move to issue $5 billion in domestic bonds to expand its financial base.
The OPEC member’s economy has only a small manufacturing base and almost all goods are dollar-priced imports.