https://arab.news/bg3me
- Project is part of a $5.5 billion investment package agreed between the two countries in November 2023
- It will be developed and operated by UAE’s Etihad Rail
RIYADH: The UAE has signed a $2.3 billion deal to develop a 360-km railway network linking Jordan’s Aqaba port to the country’s mining hubs at Al-Shidiya and Ghor Al-Safi.
The project, to be developed and operated by UAE’s Etihad Rail, is part of a $5.5 billion investment package agreed between the two countries in November 2023, according to a press release.
The railway infrastructure in Jordan will be modernized under the agreement, including the manufacture and supply of new trains built to international standards.
The project will also feature the construction of terminals for loading and unloading mineral products at Aqaba, Ghor Al-Safi, and Shidiya.
The railway will take five years to reach operational status, with completion set for 2030.
The UAE, one of Jordan’s largest foreign investors, has injected around $22.5 billion into the Kingdom’s economy over the past decade.
“The Investment Memorandum with Jordan showcases our commitment to leveraging our collective and bilateral efforts to drive economic growth, while enhancing resilience and promoting economic diversification in both of our brotherly nations,” said Mohamed Hassan Al-Suwaidi, UAE’s minister of investment.
Etihad Rail also signed separate agreements with Jordan Phosphate Mines Co. and Arab Potash Co. to transport 16 million tons of phosphate and potash annually from mining sites to Aqaba via the Jordanian railway network.
“Through enhancing capabilities and sharing technical expertise, we aim to establish new economic and investment connections that support infrastructure development and foster promising opportunities, all within the framework of our vision to achieve comprehensive and sustainable economic growth,” Al-Suwaidi added.
Jordanian Prime Minister Bisher Al-Khasawneh noted that these agreements with the UAE underscore the deep and amicable bond between the two nations.
He further highlighted that these developments symbolize the fraternal and strategic relations between Jordan and the UAE and serve the mutual interests of both nations.
“We are always pleased with the enduring strategic partnership and close fraternal ties between Jordan and the UAE, which reflect the strong bond between King Abdullah II and his brother, Sheikh Mohammed bin Zayed Al Nahyan,” said Al-Khasawneh.
He also mentioned that detailed studies on railway tracks and handling requirements for potash and phosphate will be completed by the end of 2025, with bids for construction work expected to be issued in early 2026.
Shadi Malak, CEO of Etihad Rail, said the agreements and MoUs reinforce the company’s commitment to strengthening its presence in the region.
“We are keen to leverage our proven expertise in developing and operating the UAE National Railway Network to support Jordan’s ambitious plans for advancing its rail infrastructure and driving economic growth. This aligns with the strong and cooperative relationship between our two nations,” added Malak.