In the land of the Great Pyramids of Giza, Egypt is undergoing a remarkable transformation through a new construction boom. This initiative aims to modernize the country by creating a hyper-connected network of energy-efficient communities that offer quality jobs and sustainable living environments. The blueprint for this change is based on dozens of new smart cities currently under construction.
“We are a nation of builders and, historically, we have always contributed to the success of humanity,” says Hassan Allam, CEO of Egyptian construction giant Hassan Allam Holding, which is contributing to the infrastructure for this Cities of the Future program.
New Administrative Capital, Egypt
Economic Benefits and Growth
The strategy is already benefiting the Egyptian economy. “When you look at Egypt’s story during 2020, we were one of the few countries in the world that had positive growth rates,” points out Dr. Rania A. Al-Mashat, Egypt’s Minister of International Cooperation. Due to its strong economic fundamentals and the economic reform program adopted in 2016, the government was able to act swiftly to mitigate the impact of the pandemic; Egypt was the only North African nation showing positive real GDP growth rate in 2020.
More than 15% of the Egyptian economy is directly related to construction, notes Allam. “When this segment of business sees historic growth, as it has in the last eight years, it drives the economy, creates job opportunities and enhances quality of life.”
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“A huge change has happened in the mind of the country and how Egyptians think about the future,” says Ahmed Elsewedy, CEO of Elsewedy Electric, a leading Egyptian electrical provider working on the smart cities program, which also has partnerships with global enterprises including Toyota and Siemens, and operations in 100 countries.
In April, Fitch affirmed Egypt’s rating at B+, praising its “large economy with robust growth and strong support from bilateral and multilateral partners.”
The New Administrative Capital (NAC)
Located 45 kilometers east of the bustling Cairo metropolis, a new vision for urban living in the 21st century is taking shape. The New Administration Capital (NAC) sits at the heart of Egypt’s smart cities program.
“Cairo is a historic city and was built piece by piece, and decade by decade,” comments Allam. “To move into the modern world, you need modern infrastructure.”
As Greater Cairo has grown to a conurbation of more than 20 million residents, the NAC is Egypt’s response to its population growth and the need to create sustainable communities. Positioned to become the sustainability capital of the Middle East, the NAC will be home to key government ministries and foreign embassies.
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“The government designed a new city [that is] technologically-advanced with state-of-the-art buildings and infrastructure,” says Allam, adding that connectivity and ease of doing business are priorities. Strategic communications, modern transportation systems and renewable energy supplies are central to the program.
Expansion of the New Administrative Capital
The new city is located 45 kilometres (28 miles) east of Cairo and just outside the Regional Ring Road, in a largely undeveloped area halfway to the seaport city of Suez. The city was planned to consist of a government administrative district, a diplomatic quarter, a cultural district (opera and theatres), a central business district (CBD), parks (the 'green river'), and 21 residential districts.
The NAC is being built in stages, initially over the space of 170,000 feddans (714 km2/270 sq mi), which later grew to 223,383 feddans (907 km2). Phase 1 (2016 - ), covering over 40,000 feddans - or less than a quarter of the land allocated for the city, holds all government, parliamentary, judicial and presidential buildings, as well as the CBD and residential districts. The Islamic Cultural Center (Grand Mosque) is the largest mosque in Africa. The mosque is built in the Mamluk style and is on a hill overlooking the New Administrative Capital. The Nativity of Christ is a Coptic Orthodox cathedral that can accommodate more than 8,000 worshippers. The Green River Park (also known as Capital Park) is an urban park planned to extend along the entirety of the new capital, representing the Nile river. It is expected to be 35 kilometres (22 miles) long, aiming to be double the size of New York's Central Park. The Octagon (State's Strategic Leadership Centre) is Egypt's new Ministry of Defense headquarters. A whole "city/village" built as a sports complex for the country's possible bids for international sporting events, particularly the Olympic Games and the FIFA World Cup with more than 22 sporting facilities, one of which is the fourth biggest football stadium in the world. The Misr Stadium (also known as Sports City Stadium) opened in 2024 with a capacity of over 93,900 people; it is the largest stadium in Egypt and the second largest in Africa. The Oblisco Capitale is a planned and approved skyscraper set to be inaugurated in 2030. The Cairo Light Rail Transit (abbreviated LRT) connects Cairo to the New Administrative Capital. The line starts at Adly Mansour Station at Al Salam City on Cairo Metro Line 3, and splits into two branches at Badr City. One runs northward, parallel to the Cairo Ring Road, to 10th of Ramadan City, while the other turns south towards the New Administrative Capital. In January 2021, Egypt signed a contract with Siemens to construct a high speed rail line that extends from the northern Mediterranean city of El Alamein to Ain Sokhna city on the Red Sea passing through the new capital and Alexandria. The 450 km (280 mi) line is expected to be finished by 2023. The New Administrative Capital will be served by the new Capital International Airport.
A Full Tour around the Egyptian New Administrative Capital - Discover Updates العاصمة الادارية
Smart Cities Across Egypt
Beyond Cairo and the NAC, smart cities are being built across Egypt-from New Alamein and New Mansoura on the Mediterranean coast to New Luxor in the south. “The idea is to modernize the different areas within the country,” explains Al-Mashat, who emphasizes the key role of digitalization and smart technologies in these new urban zones.
“When it comes to infrastructure, plenty of work has been happening to connect cities,” explains Al-Mashat. “This is crucial for transportation of people and businesses to ease and facilitate connectivity. What is happening now in transportation-high-speed lines, monorails, trains, buses-is a complete change. The same goes for energy, digital and telecoms”.
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New Alamein
New Alamein is one of the most ambitious of Egypt’s smart cities, covering 50,000 acres and with a proposed population of 3 million. It is being styled as Egypt’s “Gate to Africa” and combines tourist, residential and historic sectors. The city’s distinctive features include Al-Alamein Towers, a series of 170-meter skyscrapers which will be the tallest on the Mediterranean coast.
New Mansoura
At New Mansoura, which will be home to more than 1 million, a spectacular Nile Corniche is being constructed, along with a 2-kilometer tourist marina. The smart city will have its own international university, a medical city, scientific research centers and tech zones.
“These new fourth-generation cities have everything you can possibly imagine that would be required for a high quality of life,” says Allam. “We’ve delivered large infrastructure projects, such as water treatment plants, waste treatment facilities, and roads. We are currently building headquarters for banks and financial institutions.”
Sustainability and Quality of Life
The requirement for a high quality of life is incorporated into the cities’ infrastructure. The smart cities are “green in nature”, Al-Mashat emphasizes. The NAC will incorporate an area of open water-the Green River-as well as parklands, botanical gardens and an arboretum. It will act as the lungs of the city and be double the size of New York’s Central Park.
Cairo area, Egypt
The time series above shows how the greater Cairo area changed every 10 years between 1984 and 2024. Cairo’s population has grown from about 8 million to over 22 million since 1984, and this near-tripling of the population has dramatically changed the city’s footprint. In addition to building upward and outward along the fertile floodplain of the Nile River, development has spread to several new satellite cities built on desert plains outside of the city. Approximately 95 percent of Egypt’s population lives within 20 kilometers of the Nile River and its delta, reliant on its fertile land and water. With increasing domestic and agricultural demands, the country is likely to import more water than is supplied by the Nile by the end of this decade, according to one projection. Geological Survey.
Education and Skilled Workers
Smart cities also need skilled workers. People are at the core of the Cities of the Future program, which recognizes the requirement for high-quality education and a talent pipeline for modern industry. Part of the government’s program of structural reform focuses on ICT training and the development of STEM (science, engineering, technology and mathematics) schools. The NAC, for example, will be home to six universities that put an emphasis on vocational training.
“One of the most important things, is adding new graduates, focusing on the training and investment in our people. Our main vocational schools spread all over Egypt,” says Elsewedy. “The young generation in Egypt is more than 60% of the population-we have to think of the future and a better life for them.”
Clean Energy and Infrastructure
Powering the new cities will be made easier by Egypt’s progress in expanding its clean energy supply, its Integrated Sustainable Energy Strategy has set a renewable energy target of 42% of total generation by 2035-rapidly going from “deficit to surplus” as an electricity provider, comments Al-Mashat.
“After several years of shortages in electricity, today, Egypt is able to export electricity. There are transmission channels to Libya and to Jordan, and through Saudi Arabia to the Gulf and to Sudan,” she says.
“What has been done in the last six years is extraordinary-the improvement in [Egypt’s] electricity supply from 15,000-20,000 MW to now 60,000 MW,” adds Elsewedy.
Since 2015, Egypt has been transforming its energy sector, enacting a renewable energy law, phasing out fuel subsidies, and introducing a solar Feed-in-Tariff (FiT) program to leverage private sector capital.
Investment and Private Sector Engagement
Thanks to its new network of fourth-generation cities, Egypt is well placed to attract more overseas investment. “Egypt is the dream of any international company,” Elsewedy adds. “Wherever you want to invest, you’ll find the opportunity in Egypt.”
Al-Mashat notes the crucial role of the private sector in Egypt’s progress. “Key in all of this is that the government understands the importance of private sector engagement.”
Allam agrees that Egypt is “ripe for growth” and predicts that “FDI will come” because the country’s smart cities point the way to sustainable development. “Once you see these cities occupied with people living, working and going to school, that is success,” he says.
Egypt is witnessing a huge development through building new cities in various areas of the country.
- The New Administrative Capital in Egypt is the biggest new city. This is through building a fully integrated and developed city according to world-class standards.
- Now you can live in Ain Sokhna and not just spend a couple of days there. This is at the new Galala City. It’s nestled between the mountains, overlooking the Red Sea so you’ll also relish stunning scenery everyday.
- Among the new cities of Egypt comes Mostakbal City, which is the largest integrated city in New Cairo. Mostakbal City is home to a great number of lavish compounds where you can enjoy a perfect stay in such a matchless community.
- New Alamein City in Egypt Is an exemplary one on the coast of the marvellous Mediterranean Sea. This stunning destination has state-of-the art facilities on all levels whether residential, commercial, or entertainment.
- It welcomes people from the neighboring governorates.
- One of the new cities that is under construction in Egypt is New Aswan City. It stretches along the banks of the Nile River with an area of 1050 acres. You can take the decision of living there without hesitation as it includes all the modern amenities and facilities you might ask for.
- If you want to live away from the heart of Damietta, then New Damietta City is the best option for you. Its area reaches 6500 acres where everything is supported, starting from the basic daily necessities to entertainment.
- The new smart cities in Egypt are not only in Cairo, but also in different governorates; New Mansoura City is one of them. This incredible community extends along the Mediterranean coast on 5,100 feddans, allowing you to enjoy a spectacular view from your home.
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