egypt’s new cities: neither just nor efficient

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New Egypt’s New Cities: Neither Just nor Efficient www.tadamun.info Planning [in] Justice www.tadamun.info

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Page 1: Egypt’s New Cities: Neither Just nor Efficient

Egypt’s New Cities: Neither Just nor E�cient www.tadamun.info

New

Egypt’sNew Cities: Neither Just nor E�icient

www.tadamun.infoPlanning [in] Justicewww.tadamun.info

Page 2: Egypt’s New Cities: Neither Just nor Efficient

= 200,000

Greater Cairo Region Population = 21 million

Growth of Egyptian CitiesEgypt’s population has been historically concentrated along the Nile Valley. Over the past few decades, the population density has increased signi�cantly to accommodate the growing population.

Sūhāg

4.3million

Asyūt

3.9million

al-Minyā

4.8million

Beni Suef

2.6million

Giza

7.6million

Damietta

1.2million

Alexandria

4.6million

al-Buhayra

5.4million

Kafral-Shaykh

2.8million

al-Gharbiyya

4.5million

al-Munū�yya

3.7million

Aswān

1.3million

al-Daqahliyya

5.6million

al-Qalyūbiyya

5.2million

Cairo

9.3millionQinā

2.8million

Egypt’s New Cities: Neither Just nor E�cient www.tadamun.infowww.tadamun.infoSource: Ministry of Planning, 2015

Page 3: Egypt’s New Cities: Neither Just nor Efficient

www.tadamun.info

Story & Concept of New CitiesThe policy of establishing new cities and urban communities in the desert was developed as a way of controlling future urbanization and growth, and directing it towards new urban communities on the peripheries of existing cities and outside of the Nile Valley. Recently, the New Urban Communities Authority (NUCA) has been playing a leading role in implementing land and housing policies that focus on revenue generation.

New

Page 4: Egypt’s New Cities: Neither Just nor Efficient

New

New

Goals of New Cities Originally, new cities and urban communities were established to ful�ll a social and economic role. Ful�lling these roles successfully required attracting people away from existing cities to limit ongoing urban expansion on agricultural land and to provide a�ordable housing to lower- and mid-income groups.

However, NUCA has consistently deviated from this social role and acted as a real estate developer instead.

www.tadamun.info

Page 5: Egypt’s New Cities: Neither Just nor Efficient

New Qinā

New Tiba

New Luxor

al-Shurū

k

New Cairo

New ‘Alamayn

al-`Ubūr

Sheikh Z

ayed

Badr15th of

May

New Borg

al-`A

rabNew

Damietta

al-Sadāt

New

Salheyya

New Beni Suef

New Minyā

New N

ubareyya

New Asyūt

New Sūhāg

New Fayyūm

New Farafra

New Aswān

New Tosh

ka

East `U

aynāt

6th of

Octo

ber

10th of

Ramadan

North

Suez Bay

Costal

Resorts

East

Port Said

First Generation

Second Generation

Third Generation

Under construction

New Cities & Urban Communities MapSince 1979, Egypt built 28 new cities and urban communities over three generations with more under construction.

Egypt’s New Cities: Neither Just nor E�cient www.tadamun.infowww.tadamun.infoSource: NUCA

Page 6: Egypt’s New Cities: Neither Just nor Efficient

Egypt’s New Cities: Neither Just nor E�cient www.tadamun.infowww.tadamun.infoEgypt’s New Cities: Neither Just nor E�cient

Did New Cities Achieve their Goals?

www.tadamun.info

Page 7: Egypt’s New Cities: Neither Just nor Efficient

First Generation

Second Generation

Third Generation

Target Population

Current Population(= 200,000 )

New Tiba

al-Shurū

k

New Cairo al-`Ubūr

Sheikh

Zayed

Badr15th of

May

New Borg

al-`A

rabNew

Damietta

al-Sadāt

New

Salheyya

New Beni Suef

New Minyā

New

Nubareyya

New Asyūt

6th of

Octo

ber

10th of

Ramadan

Population of New CitiesNot a single new city has reached its target population and the vast majority haven’t even achieved 50% of their target, even among the �rst ones established during the 1970s.

Egypt’s New Cities: Neither Just nor E�cient www.tadamun.infowww.tadamun.infoSource: NUCA

Page 8: Egypt’s New Cities: Neither Just nor Efficient

Current PopulationTarget Population

4%New Assiut

New Minia6%

New Tiba10%

Correlation between Spending & SuccessNew Assiut, New Minia, and New Tiba have received the highest amount of spending on services per capita among all the new cities since their establishment, and yet, they have only achieved, respectively, 4%, 6%, and 10% of their target populations.

www.tadamun.infoSource: NUCA

Page 9: Egypt’s New Cities: Neither Just nor Efficient

Mon

thly

Hou

seho

ld C

onsu

mpt

ion

2012

/201

3 (E

GP)

0

500

1000

1500

2000

2500

3000

3500

4000

5000

Lower Income Group

Middle Income Group

Richest Income Group

Poor Group

Minimum mortgage payment to own an average apartment in New Cities

Housing not Reaching the PoorThe monthly income of almost 60% of the population does not exceed EGP 2,000, while the monthly mortgage payment required to own an apartment in Badr City is EGP 3,625 on average.

www.tadamun.infoSource: Shawkat, 2014 (based on HIECS 2012/2013)

Page 10: Egypt’s New Cities: Neither Just nor Efficient

0

5

10

15

20

25

30

35

Ministry of

Health

Ministry of

Educatio

n

Ministry of

Housing

NUCA

Publ

ic In

vest

men

ts in

201

5/20

16

in E

GP

billi

on

Where do Public Invesments Go?NUCA’s budget in 2015/2016 is EGP 64.6 billion. NUCA’s gross investment in new cities is almost four times the total public investment in the entire national education sector, and more than �ve times the total public investment in the health sector during the same year.

www.tadamun.infoSource: Ministry of Finance, Public Budget 2015/2016

Page 11: Egypt’s New Cities: Neither Just nor Efficient

8billion

EGP

64billion

EGPNew Cities are Costing Too Much & Generating Too Little RevenueThe government adopted a philosophy of capi-talizing on Egypt’s land resources as a means to boost public revenues. However, despite new cities utilizing a budget of EGP 64 billion in 2015/2016, NUCA only gave back EGP 8 billion to the public treasury, which is only 1% of public expenditure.

www.tadamun.infoSource: Ministry of Finance, NUCA’s Budget 2015/2016

Page 12: Egypt’s New Cities: Neither Just nor Efficient

New

People did not move Una�ordable housesNUCA did not

generate revenues

New Cities are Neither Just nor EfficientRelying on NUCA to provide a�ordable housing and to generate adequate revenues through executing the current housing and land management policies does not seem to be e�ective. Yet, the government continues on the same track.

www.tadamun.info

Page 13: Egypt’s New Cities: Neither Just nor Efficient

Planning [in] JusticeThe project aims to collect and analyze data and increase public awareness regarding the absence of spatial justice in the distribution of public resources between di�erent urban areas. This is in addition to examining the institutional causes that enable this situation in Egypt, with a special focus on the Greater Cairo Region (GCR).

In pursuing this aim, the project works on develop-ing tools to identify, measure and address these inequalities and making these tools available to other active groups in Egypt. Planning [in] Justice is a project of TADAMUN: The Cairo Urban Solidari-ty Initiative.

www.tadamun.info

Page 14: Egypt’s New Cities: Neither Just nor Efficient

Egypt’s New Cities: Neither Just nor E�cient www.tadamun.infowww.tadamun.info

Planning [in] Justicewww.tadamun.info