Inauguration of Largest Industrial Zone in Ras El Hikma to Boost Employment and Local Production

Engineer Sherif El-Sherbiny, Minister of Housing, Utilities, and Urban Communities, has announced the launch of the largest industrial zone in the Ras El Hikma area. The initiative aims to provide job opportunities, address the rising unemployment rate, and support local production. Details of the industrial zone and the ongoing negotiations with local landholders were disclosed.

The Ministry of Housing, in coordination with various state entities, is conducting ongoing negotiations with individuals occupying lands in the Ras El Hikma project area. The city authority, led by Engineer Walid Abdel Rahman, is working closely with the Minister to resolve land and compensation issues, providing alternative housing for the affected residents.

Minister El-Sherbiny outlined that the project’s land has been divided into several phases after negotiations with the current landholders. The first phase of land allocation is set to commence in October.

Efforts are also underway to finalize the compensation package for the region’s inhabitants. The Matrouh Governorate has played a key role in this process, offering alternative lands where many residents have already begun construction in preparation for relocation.

The Minister emphasized the state’s keen interest in this project, with regular follow-ups and high-level coordination among various government entities to resolve any challenges encountered during negotiations with the locals.

A fully functional industrial zone will be established in Ras El Hikma to support this expansive project, which is regarded as one of the largest in modern Egyptian history. This development aims to localize domestic industries and generate employment opportunities.

Alternative lands and housing, along with compensations, have been provided to the residents. The first phase of the land allocation is expected to start at the beginning of next month.

According to informed sources within the Ministry of Housing, the agreed-upon compensation is set at EGP 300,000 per feddan (approximately 1.038 acres). The sources indicated a clear understanding and cooperation from the residents regarding the significance of this project. The first phase, covering 10,000 feddans, is expected to be fully delivered within a month and a half. Matrouh Governorate has shown significant cooperation, offering alternative lands and housing to the residents.

In February, the Ministry of Housing, represented by the New Urban Communities Authority, signed a major investment partnership worth $35 billion with Abu Dhabi Developmental Holding Company from the United Arab Emirates. The partnership aims to develop and enhance the city of Ras El Hikma on the northwest coast.

This project is the largest of its kind, targeting the development of a city spanning 170 million square meters (over 40,600 feddans). Abu Dhabi Developmental Holding Company will establish a holding company named “Ras El Hikma,” which will be responsible for the project’s implementation, with Egyptian participation.

The project will include residential neighborhoods for all income levels, world-class hotels, tourist resorts, extensive recreational projects, and comprehensive urban services such as schools, universities, hospitals, administrative and service buildings. Additionally, a dedicated free zone will feature technology and light industries, logistical services, and a central financial district to attract global companies.