The UAE’s Ministry of Investment and the Ministry of Communications and Information Technology of Egypt have entered into a memorandum of understanding (MoU) to foster collaboration and investment in the digital infrastructure sector, specifically focusing on Egypt’s data centre projects.
The agreement indicates that the planned data centres have the potential to reach a combined operational capacity of 1,000 megawatts (MW).
The Middle East Economy news service suggests that increasing demand for data centres in Egypt may be due to the country’s Digital Egypt strategy, described by the communications ministry as an all-encompassing vision and plan, laying the foundations for the transformation of Egypt into a digital society. Egypt’s appeal to data centre providers may also be down to the country’s advantageous coastal location and access to submarine cables.
The value of the data centre market in Egypt is expected to reach US$1,139 million by 2030, compared to approximately US$491 million in 2022.
This agreement aims to facilitate effective and productive cooperation by strengthening ties between governmental and private institutions in the UAE and Egypt. It includes provisions for providing incentives, facilities and support to promote relevant initiatives, fostering collaborative efforts, and facilitating the exchange of experiences and knowledge.
Of course this isn’t the only big UAE-Egypt data centre news this year. In May we reported that the digital solutions provider Benya Group had signed an MoU with the UAE-based wholesale data centre provider Khazna Data Centres to build a 25-megawatt (MW) hyperscale data centre at Maadi Technology Park in Cairo.
