Al-Futtaim to Sign Final Settlement Contract with Government

Dr. Mohamed Mekawy, General Manager of Al-Futtaim Emirates-Egypt, stated that the negotiations are conducted between the company’s legal representative and the Egyptian government for settling the dispute over the Cairo Festival City project which is about to be finalized, expecting that the  company’s final settlement contract will be concluded within a few weeks.

In special statements to Amwal Al Ghad via a telephone call from Dubai, Mekawy added that the meeting will open the door for the company to increase its investments in Egypt during the coming period. He confirmed that the group has pumped EGP 3.8 billion into the Cairo Festival City project located in New Cairo up till now; EGP 120 million were spent on the project’s works in order to make sure that it will be delivered on schedule.

Mekawy anticipated that his company will obtain  a loan worth EGP 2 billion from a number of banks but the loan is subject to the final settlement contract which is currently debated with the government.

Hani Sarie-Eldin,  General Counsel of Al-Futtaim Real Estate, has previously confirmed to Amwal Al Ghad that the company has refused paying any new compensations to settle its contract with the New Urban Communities Authority, stressing on the integrity of the company’s position and its adherence to its legal right, given that it has paid off EGP 673 million, the value of the plot,  to the Ministry of Housing so far.