Egypt is seeking 500-million-euro ($590 million) in funding from European financial institutions to help cover the costs of the second phase of the Alexandria Metro project, a Saudi press report has said.

The Egyptian government is currently implementing the project, which has an initial length of 43 kilometres (km) and uses trains reaching speeds of up to 100 kilometres per hour, to connect the coastal city from Abu Qir in the east to Borg El Arab in the west,

The second phase, which is currently under study, will extend for 31 km, including 19 km of elevated track and 12 km of at-grade track, and will include 22 passenger stations.

Asharq business website, quoting Egyptian sources, said the initial estimates for external financing for the second phase exceeded $1 billion, with the Ministry of Transport seeking to reduce this amount by expanding local manufacturing and limiting foreign components to equipment not available in the country.

Recently, Egypt has attracted approximately six international companies to localise railway and metro industries, including the French company Alstom, which is currently developing an industrial complex in Borg El Arab, Alexandria, according to the report.

This complex will house two factories producing electrical systems and rolling stock, including those for the metro, trams, monorail, and high-speed trains, it said.

Last month, the Ministry of Transport released aerial footage showcasing the latest progress in implementing the first phase of the Alexandria Metro project.

The phase extends 21.7 km from Abu Qir Railway Station to Misr Station in Alexandria. It includes 6.5 km of surface track from Misr Station to just before El-Zahereya Station, followed by 15.2 km of elevated track up to Abu Qir Station.The phase comprises 20 stations, including six surface stations and 14 elevated stations.

(Writing by N Saeed; Editing by Anoop Menon)

(anoop.menon@lseg.com)

Subscribe to our Projects' PULSE newsletter that brings you trustworthy news, updates and insights on project activities, developments, and partnerships across sectors in the Middle East and Africa.