The Madbouly government will sign the management and operations contract for Galala Marina next month, after officials finalized the technical and regulatory details last week, a senior government source told EnterpriseAM. The marina will be operated by Nautix — the marine services company owned by businessman Magdi Ghali, who is planning to form alliances with international investors after signing.

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The move is part of a wider push to promote investment in Galala, with the General Authority for Investments and Freezones last week laying out its plan to launch several investment offerings in Galala City. The projects the authority is looking to promote to investors include a yacht marina, a coastal hotel, a water park, a hospital, an upscale residential district, a downtown avenue, and more hotels and resorts.

Ghali signed an MoU last year to develop the marina, but sources tell us the agreement was not activated pending the final contract signing before year-end. Once the agreement is sealed, Nautix will take over the facility and begin rehabilitation and infrastructure works at the start of 2026.

The contract — currently undergoing its final regulatory review — will run for 15 years, renewable for an additional 15 years under a usufruct structure. Up to USD 10 mn will be invested over the next decade, with the Transport Ministry set to receive 60% of earnings starting from the marina’s third year of operations.

Ghali told us his company is finalizing the management and operations agreement and will begin development works immediately after signing. He added that the state has already built the marina’s core structure and that Nautix will install the necessary equipment to allow vessel berthing within four months. The marina will begin receiving medium-sized yachts within one year and larger vessels of up to 80 meters within two years of the start of development works, Ghali added.

What’s the marina offering? Planned facilities include natural gas and gasoline fueling stations, full maintenance and repair services, technical equipment supply, internet services, a port-entry permit office, tourist excursions along the Red Sea, and licensed guides. Additionally, Ghali told us his company will build four major restaurants and several retail outlets to boost tourist spending at the marina. The marina will also include a dedicated space for bank representatives to provide financial services to yacht owners and visitors.

Ghali plans to scale up the marina’s capacity to 620 boats within five years, citing increasing demand from Egyptian and foreign yacht buyers and the shortage of berthing space at the Hurghada Marina.

Nautix is currently in negotiations with Honda, Volvo, and Mercury to establish certified marine engine service centers and train technical staff, Ghali told EnterprisAM. His company is also in discussions with the Industry Ministry to convert these facilities into a ship mechanic training school offering internationally accredited certificates.

The contract allows part of the investment to be financed through banks. Ghali said Nautix is already in early talks with the National Bank of Egypt and Banque Misr, with plans to engage international investors once the contract is signed.

REMEMBER- Egypt has been positioning Galala as a key investment destination under its plan to attract yacht tourism, promote new coastal assets, and raise USD 3 bn a year from the sector by FY 2028-29. Egypt has also been working on expanding and standardizing yacht tourism since 2021, introducing unified regulations, upgrading maps of domestic marinas, and identifying high-potential destinations on the Red Sea and the Mediterranean.

** We dove into all things Galala Marina last year in a Hardhat deep dive into Egypt’s push to put itself on the global yacht tourism map. Check out the story here.

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