Moscow and Cairo Sign $21 Billion Contract for Nuclear Power Plant Construction in Egypt

Officials from Moscow and Cairo signed contracts worth $21 billion for the construction of a nuclear power plant in Egypt during Russian President Vladimir Putin's visit to the country on Monday, December 11. The Russian state nuclear company, Rosatom, previously announced that the nuclear plant near the city of Dabaa (El Dabaa) will have four reactors and is expected to be completed by 2028-2029. According to Reuters, the two countries signed a memorandum of understanding for the construction of this power plant in 2015, and Russia has provided a loan to Egypt to cover the costs. Moscow and Cairo also agreed to resume civilian flights between Russia and Egypt, which were halted two years ago after the downing of a Russian passenger plane by Islamist militants over the Sinai desert. On Monday, Putin stated that Russia is ready to resume passenger flights between the two countries. Following the downing of a Russian passenger plane in 2015 due to a bombing by Muslim militants, the Russian government suspended civilian flights to Egypt, resulting in the deaths of all 224 passengers on board. This terrorist attack and the Russian government's decision harmed Egypt's tourism industry, which had already been weakened. The issue of inspection procedures at Egyptian airports and the possibility of resuming flights from Russia had been raised months ago. The Russian President said, 'Russian security agencies have reported to me that we are generally ready to resume direct flights between Moscow and Cairo. This requires the signing of a protocol between the two governments.' The Russian Minister of Transport also stated that flights to Egypt could resume as early as February, and Russia is ready to sign a protocol with Egypt on this matter this week. Putin's recent visit to Cairo indicates a deepening relationship between the two countries. Egypt is the second-largest recipient of U.S. military aid after Israel and, given its control over the Suez Canal, is a strategic ally of the U.S. in the region. The Russian President, who made a brief stop in Syria before arriving in Egypt, ordered the withdrawal of some of his country's forces from Syria. Egyptian President Abdel Fattah el-Sisi stated that the two leaders discussed industrial, commercial, and Russian investment plans in Egypt, including in the economic zone of the Suez Canal. In August, the U.S. government canceled a $95 million aid package to Egypt due to a lack of progress on human rights issues and delayed a $195 million financial aid package. Meanwhile, following Russia's military intervention in the Syrian civil war, there are indications that Russia seeks to expand its military presence in the region. On Monday, neither leader referenced the draft agreement between the two countries regarding the use of each other's military aircraft and ships in their respective air and maritime spaces, which was announced in November. However, Vladimir Putin has gradually strengthened his relations with Egypt. His first visit to Cairo in 2015 was the first visit by a leader of a significant country to Egypt since the ousting of Mohamed Morsi's government by General el-Sisi, the then-commander of the Egyptian armed forces. This situation caused relations between Washington and Cairo to cool, and the U.S. government suspended part of its military aid to Egypt. Since then, the two leaders have expanded their cooperation, somewhat reviving the historical alliance between Egypt and the former Soviet Union in the 1960s and 70s.