Egypt Unveils $1bn Red Sea Marina And Hotel Project

Monday 2nd February 2026

By inAfrika Newsroom

Egypt Red Sea marina project plans were announced for a $1 billion development on the Gulf of Suez, as authorities and developers push to expand tourism capacity and attract higher-spending visitors along the Red Sea coast.

The project, described by Reuters as the “Monte Galala Towers and Marina,” is planned as a 10-tower development combining marinas, hotels and residential buildings across about 470,000 square metres, around 35 kilometres south of Ain Sokhna.

Construction is expected to begin in the second half of 2026 and run for seven years, Reuters reported, with Tatweer Misr working alongside the housing ministry and state entities including the armed forces’ engineering authority. The reported cost was about 50 billion Egyptian pounds, or roughly $1.07 billion.

The announcement fits Egypt’s broader strategy of using large-scale coastal and heritage tourism to expand foreign currency earnings. Reuters cited an ambition to reach 30 million tourists a year by 2030, up from 19 million in 2025. For African tourism markets, Egypt’s investments matter because they compete for the same global travel demand, airline capacity and investor capital.

Tourism is also closely tied to macroeconomic stability in North Africa. Visitor spending supports jobs, tax receipts and foreign exchange liquidity. When tourism weakens, pressure often shifts to currency markets and public finances. When it strengthens, it can ease external balances and support debt servicing capacity, especially in reform-intensive environments.

The Red Sea remains a strategic tourism corridor, but it is also exposed to regional security perceptions, shipping disruptions, and global consumer confidence. Egypt’s challenge is to deliver projects on time, maintain service quality, and expand marketing reach while keeping costs and procurement governance under control.

Egypt Red Sea marina project: What is planned

Egypt Red Sea marina project details include 10 towers with marinas, hotels and residential components, located south of Ain Sokhna on the Gulf of Suez, with construction planned to start in the second half of 2026.

Next steps

The next milestones include formalising final designs, phasing schedules, and financing arrangements, while monitoring whether tourism demand and airline capacity support the scale of planned expansion.

Why it matters

Tourism projects shape foreign exchange earnings and employment. Egypt’s coastal expansion also signals intensifying competition for Red Sea and Mediterranean travel demand, with implications for investment flows across Africa’s tourism sector.