Egypt has launched a massive tourism project called Marassi Red Sea, with a partnership between local and Gulf developers aiming to build a luxury resort city on the Red Sea coast. Announced on September 7, 2025, this $18 billion initiative involves Emaar Misr and City Stars, and it promises to boost tourism and create thousands of jobs amid the country’s economic push.
Project Details and Timeline
The Marassi Red Sea project covers about 10 square kilometers near Hurghada, drawing inspiration from the successful Marassi North Coast resort. Developers plan to start work soon, with the goal of turning the area into a global tourism spot.
This deal comes after Egypt’s efforts to attract big investments. For example, in February 2024, the country signed a $35 billion agreement with UAE investors for the Ras el-Hekma development on the Mediterranean coast. That project aimed to ease financial strains, and now Marassi Red Sea builds on that momentum.
Prime Minister Mostafa Madbouly attended the signing event in Cairo, highlighting the government’s focus on tourism growth. The project could generate up to $200 million in annual revenue from visitor activities once fully operational.
Officials say the resort will blend luxury with local culture, making it appealing to international travelers. Construction is expected to ramp up in the coming months, with key phases completing by 2027.
Key Features of Marassi Red Sea
The resort will include a mix of high-end amenities to attract families and adventure seekers. Planners have outlined plans for hotels, marinas, shopping areas, and even schools.
Here are some standout elements:
- Twelve luxury hotels with over 5,000 rooms.
- Two large marinas for yachts and boats.
- Floating cabins and waterfront homes for unique stays.
- Entertainment zones with malls, restaurants, and cultural spots.
This setup aims to rival top destinations like Dubai’s resorts. Developers emphasize sustainability, with green building practices to protect the Red Sea’s marine life.
The location, just 30 minutes from Hurghada Airport, makes it easy for tourists to access. Early designs show a focus on blending modern luxury with Egypt’s rich history, like themed areas inspired by ancient sites.
Economic Impact and Job Creation
Egypt’s economy has faced challenges from global events, including the ongoing effects of regional conflicts. This project steps in as a major boost, expected to create 170,000 jobs during construction and 25,000 permanent positions afterward.
The investment totals 900 billion Egyptian pounds, or roughly $18.6 billion, funded by Emirati and Saudi partners. This influx could help stabilize the currency and reduce reliance on imports.
To show the scale, here’s a quick breakdown of projected benefits:
| Aspect | Details | Expected Outcome |
|---|---|---|
| Investment | $18.6 billion total | Direct funds into economy |
| Jobs | 170,000 construction, 25,000 ongoing | Lower unemployment rates |
| Revenue | $100-200 million yearly | Boost to tourism sector |
| Area | 10.2 square kilometers | New development hub |
Analysts predict this will increase tourist numbers by 20 percent in the Red Sea region within five years. It ties into Egypt’s broader plan to double tourism income by 2030.
Local communities stand to gain from better infrastructure, like new roads and utilities. However, experts note the need for careful planning to avoid environmental harm.
Partnerships and Broader Context
Emaar Misr, a key player owned mostly by Dubai’s Emaar, teams up with Saudi Arabia’s City Stars and other Gulf firms. This cross-border effort shows growing ties between Egypt and its neighbors.
Hassan el Sharbatly, City Stars’ vice president, said the project will launch soon and focus on high-quality experiences. It’s part of Egypt’s strategy to recover from economic hits, such as those from the Gaza conflict and global inflation.
Recent events, like the 2024 Ras el-Hekma deal, paved the way. That agreement brought in quick cash and set a model for public-private partnerships. Marassi Red Sea could inspire more such ventures in untapped areas.
The government has pushed for these deals to fund growth without heavy borrowing. With tourism already a big earner, this project targets luxury markets in Europe and Asia.
Challenges and Future Outlook
While exciting, the project faces hurdles like rising construction costs and geopolitical tensions. Egypt must balance development with protecting coral reefs and local wildlife.
Experts suggest monitoring to ensure benefits reach everyday people, not just investors. If successful, Marassi Red Sea could position Egypt as a top luxury destination, competing with spots in the Maldives or Caribbean.
Looking ahead, similar projects might follow in other coastal areas. The focus on sustainable tourism could set a positive example for the region.
What do you think about this massive tourism push? Share your thoughts in the comments and spread the word to fellow travelers.
