Egypt’s SCZone greenlights development of a USD 224 mn data center

Egypt’s Suez Canal Economic Zone (SCZone) has approved plans for a USD 224 mn data center situated in Sokhna Industrial Zone, according to a statement released last week. The initiative represents the first data center project of its kind in SCZone, the statement said.

Details: The project will be established on an 80k square meters (sqm) space and will have a 2.5k server rack capacity. The first phase of the investment will see the outlay of USD 148 mn, followed by USD 76 mn in the second phase.

The center is a boon for export services: The project will see exports to neighboring markets and international technology outfits and boost the strategic value of the zone which sees subsea internet cables transiting across the Suez Canal.

The SCZone had a good year: The zone raked in EGP 4.3 bn in revenues in 2H 2023, up 70% y-o-y. It also approved an EGP 37.3 bn draft budget for FY 2024 – 2025, the statement also said.