World Economy

France, Egypt Sign Deals Worth $2b

France, Egypt Sign Deals Worth $2bFrance, Egypt Sign Deals Worth $2b

Several agreements with a combined worth of more than €2 billion ($2.3 billion) have been signed between French companies and the Egyptian state. French President Francois Hollande is in Cairo as part of a regional tour.

The French government confirmed that contracts had been signed for the French companies Airbus Space Systems and Thales Alenia Space to build a military telecommunications satellite for Egypt’s Defense Ministry, DW reported.

“After discussions between French and Egyptian presidents and between the ministers of defense, the contract on a communication satellite with Egypt is signed,” said the Elysee Palace.

The statement said the total monetary worth of deals concluded during Hollande’s visit was more than €2 billion. The Reuters news agency reported that the satellite deal alone was valued at approximately €600 million.

Earlier in the day, Hollande opened a business forum with Egyptian President Abdel Fattah el-Sissi, telling the audience that the stability, security and development of not only Egypt but also the whole region was at stake.

“France is the sixth largest foreign investor,” Hollande said, adding that Paris wants the partnership to grow further.

In turn, Sissi said trade between the two countries reached nearly €2.58 billion in 2015 and that Egypt “was working seriously to create an attractive investment climate for foreign companies.”

Both Hollande and Sissi signed 18 agreements and memorandums of understanding in the areas of energy and transport.

One of the deals included the extension of the Cairo metro for €1.2 billion, won by a consortium led by Bouygues and Vinci.