ZTE is among three Chinese companies that have signed framework agreements for the establishment of electronics factories in Egypt on the sidelines of the 20th edition of Cairo ICT which ends today.

The agreements are part of implementing a national strategy to transform Egypt into a regional hub for design and manufacturing by the electronics industry leading up to 2030 according to the country's Ministry of Communications and Information Technology.

ZTE's agreement, signed by Silicon Waha Chairman Ahmed El-Sobky and ZTE- Middle East Executive Vice President Ho Shaw is for the founding of a new electronics factory in Borg Al Arab Technology Park.

Yasser ElKady, Minister of Communications and Information Technology in Egypt oversaw the signing of all the agreements according to a statement issued by the ministry.

"The agreement stipulates that the new plant manufactures peripheral devices such as "ADSL", "Routers" and "Modems". The factory is expected to produce one million devices in the first year and reach up to 60% of local manufacturing within 18 months from opening,as well as to expand its exports to Arab and African markets," explains the ministry in its announcement.

The second manufacturing agreement is Transsion, another chinese company specialising in the field of electronics. The company will set up a factory over an area of 5000 square meters for the production of mobile phones, tablets, LED lighting products and consumer electronics. Transsion also discussed plans to open a centre for research and development and a centre for software development in Egypt.

Minister Elkady also witnessed the ceremony of signing a partnership and cooperation agreement between Silicon Waha, and "Shenzhen Haoing - Megan", a Chinese telecom technology company, and "SICO" for electronics.

The agreement stipulates that the Chinese company establishes a plant for electronics in New Assiut Technology Park, for manufacturing and developing mobile phones, tablets and tracking devices, importing and exporting, recruiting and training engineers, technicians and other employees.

Egypt's ICT ministry has stated that the agreements are aimed at increasing the number of companies operating in the field of manufacturing and outsourcing semiconductors, electronic chips, industrial systems and advanced disciplines and to attract foreign direct investment.

"The Ministry of Communications and Information Technology (MCIT) has an ambitious plan which entails several objectives and areas, most notably of which is to reach US$10 billion in the electronics industry market size in Egypt, increase export capabilities for companies operating in the field of electronics industry to reach US$5 billion in the first phase, and provide more than 25 thousand new jobs for young people. "

ElKady was also present at the launch of an initiative between "Cisco" and "Algebra Ventures" to create a sustainable model for employment and provide new employment and investment opportunities in small projects that provide innovative solutions using advanced technology according to ICT the Ministry.

The Egyptian government has launched Silicon Waha in May this year for it to build and operate Science and Technology Parks in the country.