The Asian Infrastructure Investment Bank’s (AIIB) Board of Directors has approved a EUR250-million loan to Egypt for the Alexandria-Abou Qir Metro Line Project. Aiming to increase access to efficient, safe and low-carbon public transportation in the city of Alexandria, the project will upgrade and electrify the existing Alexandria-Abou Qir line. Twenty metro stations along the 22-kilometer corridor will be modernized, 13 stations and 16 kilometers of which will be elevated.
The project is cofinanced with the European Bank for Reconstruction and Development, European Investment Bank and Agence Française de Development. AIIB’s support is expected to add value to enhance the quality of project preparation and implementation, especially on incorporating climate-resilient aspects in the project design. Upon completion, it will be the first sustainable high-capacity metro line in Alexandria—a fast-growing industrial city home to five million people and Egypt’s largest seaport handling 75 percent of the country’s imports and exports.
“This project is aligned with AIIB’s Corporate Strategy, thematic priorities and mission to finance Infrastructure for Tomorrow and sets an excellent example of enhancing connectivity via green infrastructure financing in the transport sector,” said AIIB Vice President, Investment Operations (Region 2) Konstantin Limitovskiy. “The upgrade and electrification of the rail line will improve the quality of public transportation for Alexandria’s burgeoning population, resulting in a modal shift from more polluting, road-based methods of transport to a sustainable, electric transport network that contributes to significant reductions in greenhouse gases and air pollutants.”
The investment supports Egypt’s Paris Agreement commitment toward implementing their Nationally Determined Contribution, in which this project is included. The upgraded line will also improve public services, significantly increasing capacity and the level of service needed to cater for future demand.
Egypt is an important Member of AIIB, connecting Asia and Africa. In November 2022 at COP27, AIIB joined development partners in signing a partnership agreement with Egypt’s government to jointly support the country’s efforts to boost renewable energy and stimulate climate action through its country-led Nexus on Water, Food and Energy program.
The Asian Infrastructure Investment Bank (AIIB) is a multilateral development bank whose mission is financing the Infrastructure for Tomorrow—infrastructure with sustainability at its core. We began operations in Beijing in January 2016 and have since grown to 105 approved members worldwide. We are capitalized at USD100 billion and Triple-A-rated by the major international credit rating agencies. Collaborating with partners, AIIB meets clients’ needs by unlocking new capital and investing in infrastructure that is green, technology-enabled and promotes regional connectivity.