Egypt says that it has secured a $1.2 billion deal with the Export-Import Bank of China (EximBank) to finance an electric train project that will run from one of the country’s main industrial zones to its planned New Administrative Capital.

In press statements, the country’s Transportation Minister Hisham Arafat said that the deal constitutes $461 million for infrastructure and $739 million for trains.

The railway, which will cover 68km and will mostly be above ground, will connect the 10th of Ramadan City to the new administrative capital.

The railway aims to accommodate 350,000 passengers daily with a total speed 120km/hr. The loan has a 2 percent interest rate and matures in five years, Arafat said.

Five state-owned companies and three private corporations will work on the construction of the project, which Arafat said was a necessity for citizens in eastern Cairo.

Egypt announced early in 2015 its ambitious plan to construct a new metropolis 45km east of Cairo as part of the government's efforts to draw back foreign investors scared away by years of political turmoil following the 2011 popular revolt.