Qatari Diar to Invest $29.7 Billion in Egypt’s Alam El-Roum Mega-Project

CAIRO, EGYPT — 2025-11-05 — In one of the largest foreign investment deals in Egypt’s modern history, Qatari Diar, the real estate subsidiary of Qatar’s sovereign wealth fund, has announced a $29.7 billion investment to develop a luxury coastal city along Egypt’s Mediterranean shoreline. The project, titled Alam El-Roum, signals renewed Gulf confidence in Egypt’s economic trajectory amid continued fiscal pressures and sweeping structural reforms.

Egypt’s Cabinet confirmed that the formal signing ceremony is scheduled for this week in Cairo, with Prime Minister Mostafa Madbouly expected to attend alongside officials from the New Urban Communities Authority (NUCA) and Qatari Diar’s senior leadership. 

The deal includes a $3.5 billion upfront land payment and an additional $26.2 billion in development investments to transform the 4,900-acre site into a premier Mediterranean destination.

Located in Matrouh Governorate, about 480 kilometers northwest of Cairo, Alam El-Roum will stretch across 7.2 kilometers of pristine coastline. 

The master plan envisions a self-sustaining coastal city featuring luxury residential communities, international hotels, marinas, golf courses, academic institutions, and government service centers. Officials say the new city is designed as a year-round tourism and investment hub, positioned to attract regional and global visitors.

Qatari Diar will manage both construction and long-term operations, drawing on its extensive portfolio of high-end projects in Doha, London, and Lusail City. Once completed, the development is projected to generate more than $1.8 billion in annual revenue, with NUCA entitled to 15 percent of profits after Qatari Diar recoups its initial capital expenditure — a profit-sharing model intended to ensure sustainable returns for the Egyptian state.

The investment underscores Egypt’s deepening economic ties with the Gulf. It follows the $35 billion Ras El Hekma megaproject launched earlier this year by Abu Dhabi’s ADQ, making this the second major coastal development to secure Gulf backing in under 12 months. 

Analysts view these projects as lifelines for Egypt’s foreign reserves, providing essential liquidity amid a currency crunch and rising debt-servicing obligations.

Qatar’s decision also reflects growing regional cooperation on long-term economic diversification. With earlier Qatari commitments to Egypt already exceeding $7.5 billion, the Alam El-Roum deal cements Doha’s position as one of Cairo’s leading strategic investors. 

Egyptian sovereign bonds climbed following the announcement, signaling positive market sentiment toward Cairo’s investment climate.

Economists say the project’s successful delivery could help unlock delayed International Monetary Fund (IMF) disbursements contingent on Egypt’s progress with privatization and fiscal reforms. 

“This investment sends a powerful signal of confidence at a time when Egypt needs it most,” said one Cairo-based analyst. “It could help stabilize the currency and strengthen Egypt’s negotiating hand with international lenders.”

For Egypt, the development is as much about reputation as revenue. The government’s broader strategy to expand the Mediterranean tourism corridor aims to replicate the success of Red Sea resorts like Sharm El-Sheikh and El Gouna, while creating jobs for the country’s rapidly growing workforce.

Early infrastructure works at Alam El-Roum are expected to begin in 2026, pending final site approvals and environmental assessments. Officials say the city will be developed in multiple phases over 10 years, with completion expected by the late 2030s. 

If executed effectively, Alam El-Roum could redefine Egypt’s Mediterranean coastline and reinforce the country’s position as a premier investment gateway for the Arab world.