Prime Minister Mostafa Madbouly said that establishing new cities was a necessity for Egypt, emphasizing that President Abdel Fattah El-Sisi's approach to development is based on scientific planning and carefully studied strategies rather than implementing projects without a clear foundation.

Speaking during a session titled "Urban Development" on the second day of Egypt Forum 2026, Madbouly explained that Egypt's urban expansion is guided by the National Strategic Plan for Urban Development 2052, which was developed over several years, beginning before the January 2011 revolution and completed in early 2012.

The plan outlines a 40-year vision for Egypt's urban development.

Madbouly noted that President El-Sisi had thoroughly reviewed the plan before assuming office and decided to implement its recommendations, which were developed by Egyptian experts and urban planners.

He stressed that the comprehensive strategy was essential to addressing decades of insufficient development, which had contributed to the challenges facing Egypt's cities and villages.

According to the prime minister, the plan includes the establishment of 39 new cities, of which 27 have either been completed or are currently under development. The remaining 12 cities are scheduled to be implemented in the coming years.

He emphasized that Egypt's urban development strategy extends far beyond the New Administrative Capital and New Alamein.

Addressing criticism that many newly established cities remain largely unoccupied, Madbouly said that approximately 14 million to 15 million Egyptians currently reside permanently in existing new cities.

He explained that these figures are based on electricity meter data, including 3.3 million residential meters and more than 350,000 meters serving commercial, industrial, administrative, and other activities.

He added that these figures do not include the large number of people who commute to these cities daily for work.

Regarding the decision to establish the New Administrative Capital, Madbouly explained that it follows the same principles as other new cities, with the key distinction being the relocation of government ministries and the country's administrative headquarters.

He noted that relocating government institutions is not a new concept, as similar transitions have occurred throughout history.

Madbouly revealed that a team of independent experts, urban planners, and geographers had evaluated several potential locations for the new capital before identifying five main alternatives.

These included the current location of the New Administrative Capital, an area near the Ring Road surrounding the Field Marshal Tantawi Mosque, Warraq Island, an area north of the Cairo–Alexandria Desert Road, and another proposed new city.

The experts, who conducted their assessments independently of the government, ranked the five locations according to their suitability and ultimately selected the current site as the most appropriate, particularly because of its potential for future urban expansion.

Madbouly added that relocating government ministries to the New Administrative Capital has itself become a catalyst for accelerating urban development toward eastern Cairo, noting that the city's expansion has historically moved eastward.

Turning to the housing sector, the prime minister highlighted Egypt's efforts to address the housing challenges that had persisted for decades.

He recalled that housing shortages were once a major social issue in Egypt, frequently portrayed in Egyptian films and television productions, including the phenomenon of families living in cemeteries because they could not afford suitable housing.

Madbouly said that between 2014 and 2026, the Egyptian government alone had constructed more than 2 million housing units, primarily targeting low- and middle-income households.

He emphasized that these projects have significantly contributed to addressing the country's housing challenges.

However, he acknowledged that Egypt's continued population growth creates ongoing demand for affordable housing, particularly among young people seeking their first homes.

Madbouly concluded by reaffirming President El-Sisi's directives to continue expanding housing development projects to meet the needs of Egypt's growing population.