Cairo, Egypt, April 30, 2012—IFC,
a member of the World Bank Group, is helping the government of Egypt establish
two university hospitals in Alexandria via private sector participation,
part of an effort to improve healthcare services in the Arab World’s most
Under a new agreement, Alexandria University and Bareeq Hospitals Company,
a consortium comprising Bareeq Capital, Detac, G4S and Siemens, will combine
forces to finance, design and construct the Smouha and Mowassat hospitals
in Alexandria. IFC advised the Public Private Partnership (PPP) Unit of
the Ministry of Finance on the agreement. Smouha Maternity University Hospital
is planned as a 200-bed gynecology and obstetrics center with a blood bank.
The Mowassat Specialized University Hospital will be a 224-bed facility
providing neurosurgery, urology and nephrology services.
"We have been actively working to collaborate with the private sector
to meet the growing infrastructure needs of Egypt," said Atter Hannoura,
Director of the PPP Central Unit. "We are now happy to sign the second
PPP project following the New Cairo Wastewater treatment plant, which also
received advisory support from IFC. Despite the current economic challenges,
this signing demonstrates that investors have confidence in Egyptian PPPs
and the country in general."
Osama Ibrahim Al-Sayed Ahmad, Alexandria University President, said, “This
agreement will expand access to high quality health services to thousands
Bareeq will finance, design, construct, furnish, equip, maintain, and provide
non-clinical facility services for the two new hospitals and the blood
bank for 20 years, after which management responsibility and ownership
will transfer to the government of Egypt.
“This project demonstrates that the private sector can play an important
role in extending high quality basic services to those who need it most,”
said Luke Haggarty, IFC's head of Advisory Services in the Middle East
and North Africa.
IFC has been advising the government of Egypt on the implementation of
PPP transactions since 2006 through a memorandum of understanding with
the Ministry of Finance. Since then, the ministry has sought to pilot
such projects in the water and sanitation, transport, as well as education
and health sectors.
This initiative is part of IFC’s efforts in the Middle East and North
Africa to promote economic development by supporting the private sector
and encouraging government and business to work together on infrastructure
IFC, a member of the World Bank Group, is the largest global development
institution focused exclusively on the private sector. We help developing
countries achieve sustainable growth by financing investment, providing
advisory services to businesses and governments, and mobilizing capital
in the international financial markets. In fiscal 2011, amid economic uncertainty
across the globe, we helped our clients create jobs, strengthen environmental
performance, and contribute to their local communities—all while driving
our investments to an all-time high of nearly $19 billion. For more information,