TMG's $21B SouthMED Project: A Boost for Egypt's Tourism Growth

Egypt's Talaat Moustafa Group (TMG) is investing $21 billion into the SouthMED development project along the Mediterranean coast. Spanning 23 million square meters, the project includes luxury amenities and is expected to generate $35 billion in sales. This investment aligns with recent financial inflows aimed at bolstering Egypt's economy.

Egypt's Talaat Moustafa Group (TMG) is to invest $21 billion in the SouthMED tourism development project on Egypt's Mediterranean coast, its chief executive said on Tuesday.

The SouthMED development, which spans 23 million square metres of land on the Mediterranean coast west of Alexandria, is expected to generate sales of about $35 billion, CEO Hisham Talaat Moustafa said. Sales had already reached about 60 billion Egyptian pounds ($1.25 billion) since Monday, Talaat Moustafa said.

SouthMED is a "fully integrated development" that includes luxury villas, a marina, shops, restaurants, golf courses and other facilities and services, according to the TMG website. The announcement comes after Egypt received a windfall of investment and financing earlier this year which eased a shortage of foreign currency that had crippled the economy.

The largest influx of funds came from a deal

with Abu Dhabi sovereign fund ADQ, which agreed to pay $24 billion for the rights to develop a new city at the site of Ras El Hekma, also on the north coast. Separately, Egypt expanded its programme with the International Monetary Fund to $8 billion and received billions in pledged money from the European Union and the World Bank. ($1 = 48.1550 Egyptian pounds)