NEWSRAEL: We would LOVE to see the secret clauses of this agreement! While this is a great deal for both the UAE and Egypt - we wonder: What effect will this have on Egypt-Israel?
Did yesterday mark a significant and perhaps even historical turning point in terms of the Egyptian economy.
Yesterday, Egypt and the Emirates signed an agreement according to which the sovereign state, according to the Egyptian Prime Minister, will flow 35 billion dollars into the Egyptian economy in the next two months.
Part of the amount includes 11 billion dollars that the emirates gave to Egypt as a deposit and in fact now this is becoming an investment or if you want debt relief.
The Emirati investment will focus on a mega project called "Ras Al-Hakhma" about 200 km west of the city of Alexandria on the shores of the Mediterranean Sea. The idea is to build a new city that will also include tourist attractions. The total cost of this project is estimated at about 150 billion dollars.
The economic situation of Egypt recently is very bad. It suffers from an external debt of about 165 billion dollars and the value of its currency is in free fall.
If the agreement is implemented, the Emirates saves Egypt and the regime of Al-Sisi, and this also has political implications.