Qatar says to invest $18 bln in Egypt economy

Qatar said on Thursday it would invest $18 billion dollars in tourism and industry projects along Egypt’s Mediterranean coast over the next five years, the latest pledge of support to an economy hammered by a year and a half of political turmoil.The projects include $8 billion for gas, power and iron and steel plants at the northern entrance to the Suez Canal and $10 billion for a giant tourist resort on the Mediterranean coast.Egypt’s stock exchange closed at a 14-month high on Thursday on optimism that a new government with a clear popular mandate will secure investments and donor aid to stave off a balance of payments and budget crisis.Cairo last month formally asked the International Monetary Fund for $4.8 billion in emergency funding.“We spoke with his Excellency President Mursi and agreed to invest $8 billion on a power plant, natural gas and iron steel,” Qatar’s prime minister, said Sheikh Hamad bin Jassim al-Thani. “This will be in a integrated complex in East Port Said.”Sheikh Hamad was speaking at a joint news conference with Egyptian Prime Minister Hisham Kandil shortly after meeting the country’s newly elected president, Mohamed Mursi.He said the investments in the Port Said projects would extend over five years.Qatar announced three months after the popular uprising that toppled Hosni Mubarak that it was interested in investing near Port Said, but the plan had lain dormant since then.