Egypt will open an expansion to the Suez Canal to great fanfare on Thursday, in the presence of the French presidentFrançois Hollande.

The Suez Canal is the centrepiece of President Abdel Fattah al-Sisi’s plans to revitalise the country’s economy after years of damaging political turmoil.

Hollande is being criticised at home for his participation in the event,given the autocratic drive taken by the militaryal-Sisi regime, butEgypt, as well as its backer Saudi Arabia, are France’s biggest arms customers.

Some analysts and economists say, however, that the mega-project may fail to meet the great expectations.

The Suez extension was announced by Sisi a year ago and billed as a major national accomplishment on a par with President Gamal Abdel Nasser’s nationalisation of the Suez Canal in 1956 and the building of the Aswan Dam.

The 1869 inauguration of the canal linking the Red Sea to the Mediterranean was hailed as a leap into the modern age, and President Gamal Abdel-Nasser’s nationalization of the British and French-run waterway in 1956 was seen as marking Egypt’s decisive break with its colonial past. That sparked the second of four wars with Israel, including a 1973 offensive launched across the canal that Egyptians celebrate as their greatest military victory.

The government hopes for another historic moment Thursday, when it unveils an $8.5 billion extension of the waterway funded entirely by Egyptians, without foreign aid. The media and government supporters across the board have breathlessly repeated the same message — after four years of strife and the overthrow of two presidents, Egypt is back.

The new extension involved digging and dredging along 72 kilometers (45 miles) of the 193-kilometer canal, making a parallel waterway at its middle that will facilitate two-way traffic accommodating the world’s largest ships. With a depth of 24 meters, the canal now allows the simultaneous passage of ships with up to 66 ft. draught.

Originally planned as a three-year project, el-Sissi ordered the new segments to be finished in just one, citing the pressing need for an economic boost. Work has been non-stop ever since, and at one point 43 massive dredging machines were cranking away.

The canal drew in in a record $5.3 billion last year, a figure the government estimates it can raise to $13.2 billion by 2023 if it doubles the number of ships transiting daily to 97. Economists and shippers, however, say that’s overly optimistic.

The project’s success also depends on the security situation. To the east of the canal, a long-running insurgency in the Sinai Peninsula has intensified since the military overthrow of Islamist President Mohammed Morsi in 2013. An Islamic State affiliate has carried out several major attacks on Egyptian security forces, killing scores of soldiers and policemen there. The Egyptian mainland has also seen a series of attacks, including the bombing of the Italian Consulate in Cairo last month, which was claimed by the IS group.

The government blames almost all the attacks on Morsi’s Muslim Brotherhood, which prevailed in a series of elections held after the 2011 overthrow of longtime autocrat Hosni Mubarak but is now branded a terrorist group. Morsi and other top leaders have been jailed and sentenced to death, and a sweeping police crackdown since his ouster has killed hundreds of Islamists and jailed thousands.

Security has been stepped up along the canal ahead of Thursday’s ceremony, which is expected to be attended by el-Sissi and foreign dignitaries. Military spokesman Brig. Gen. Mohammed Samir said extra troops have been deployed to "deal with threats and potential aggression.”

An Interior Ministry statement carried by state news agency MENA said major steps were being taken to hinder the "terrorist Brotherhood” and other "terrorist infiltration,” adding that since July, security forces had launched an extensive crackdown in cities along the canal, combing nearby farms and verifying the identities of people in hotels and rental properties.

Video released by the military and broadcast continually on state and private television shows masked special forces patrolling the canal in boats, tanks and armored personnel carriers, with U.S.-made Apache attack helicopters and F-16s soaring overhead.

Some analysts say security remains a concern for foreign investors, whose capital is needed for the next stage of the project — the expansion of the canal zone to include a logistics hub and manufacturing centers.

That second stage, which would generate badly needed jobs for Egypt’s surging population, is still being developed and would take years. El-Sissi’s office said the next step would focus on the East Port Said area, the expansion of its harbor and the development of an industrial zone that would cover 40 million square meters (430 million square feet) and eventually generate some 400,000 jobs.

http://www.neurope.eu/article/egypt-unveils-suez-canal-extension-in-the-presence-of-francois-hollande/