Abu Dhabi Ports Group intends to invest $3M into three cruise terminals in Egypt as part of a 15-year concession agreement with the Red Sea Port Authority, covering Safaga, Hurghada, and Sharm El Sheikh ports.
The collaboration aims to enhance services, facilitate access for cruise operators, introduce new routes, and renovate the Sharm El Sheikh terminal, contributing to Egypt’s economic growth and strengthening AD Ports Group’s cruise business in the Red Sea region.
Ahmed Al Mutawa, the regional CEO of AD Ports, underscores the commitment to promoting tourism in the Red Sea region and bolstering connections between the UAE and Egypt.
Despite the positive impact of the travel and tourism sector, which constituted approximately $32B of GDP in 2022 and employed about 2.4 million people, the industry remains susceptible to currency fluctuations, inflation, and geopolitical uncertainties.
The UAE, Egypt’s second-largest trading partner in the region, and Egypt, the UAE’s fifth non-oil trade partner, are steadfastly enhancing their economic ties.
The collaboration between AD Ports and the Red Sea Port Authority builds on a recent agreement to develop and operate a versatile terminal at Safaga Sea Port in Egypt, involving a $200M investment over three years to improve infrastructure and facilities.
AD Ports, listed on the Abu Dhabi Securities Exchange, has been expanding its global presence through acquisitions in Spain and agreements in Pakistan and the Republic of Congo. In the preceding year, the group inaugurated the Aqaba Cruise Terminal in Jordan, aligning with its Red Sea portfolio and cruise expansion strategy, according to The National News.
