Red Sea Coast
United Real Estate Company (UREC), one of the leading real estate developers in Kuwait and the Middle East and North Africa (MENA) region, has signed an agreement with Red Sea State to develop a tourism project in the area.
This was announced on 7 July 2025, after the ambassador of the state of Kuwait to Sudan, HE Dr Fahd Al Dhufairi, met with member of the Sovereign Council Dr Nawara Abu Mohammed, in the presence of the Governor of the Red Sea State, Mustafa Mohammed Nour.
The mixed-use tourism project will be located in Arous (Arabic for ‘bride’), approximately 70 km north of Port Sudan along the Red Sea coast. Arous is known for its former role as a holiday resort that served as a cover for a covert operation to evacuate Ethiopian Jews to Israel. In the early 1980s, the resort was used by operatives from the Israel’s intelligence agency, Mossad, to pose as hotel managers and diving enthusiasts while secretly rescuing Ethiopian Jews, stranded in refugee camps in Sudan. The events inspired the 2019 Netflix film, Red Sea Diving Resort, staring Chris Evans, Michael K. Williams, Ben Kingsley, Greg Kinnear and more.
HE Al Dhufairi referred to the project as the Arous Resort, describing it as a vital project. Through the joint partnership with the Red Sea state, UREC will be responsible for the implementation of 80% of the project through the establishment of infrastructure, which will consist of a hotel, a residential area and energy projects in order to attract tourism to Port Sudan. UREC will hold an 80% ownership in the new venture while 20% would be owned by the Red Sea State.
Recently, UREC has been expanding in the MENA region, taking advantage of growing investment opportunities. In June 2025, UREC announced it is planning to develop an island tourism complex in Oman through its subsidiary in the Sultanate. The firm signed a contract for the 60,000 sq km project on Masirah, Oman’s largest island. According to UREC, the complex will comprise hotels as well as residential and commercial units and that its annual contract value is USD31,000 with a 50-year term.
Red Sea State is one of Sudan’s 18 states, located in the northeastern part of the country. It shares borders with Egypt to the north and the Red Sea to the east, while inland it is bordered by the River Nile and Kassala states. Known for its scenic Red Sea coastline, arid desert landscapes, and rich marine biodiversity, the state holds significant potential for tourism development. Due to its strategic location and natural beauty, countries such as Qatar and Türkiye have previously signed deals with Sudan to invest in the state and establish tourism destinations. According to Governor Mohamed Nour, the Arous project is expected to contribute to the state’s development and enhance its appeal as a tourist hub.
Due to the ongoing war in Sudan, which began in April 2023 between the Sudanese Armed Forces and paramilitary Rapid Support Forces (RSF), Port Sudan, the capital of Red Sea State, is currently serving as the de facto administrative centre under emergency conditions, while Khartoum remains the official capital. Port Sudan is Sudan’s main seaport and the source of 90% of the country’s international trade.
On 6 July 2025, the Kuwait Fund for Arab Economic Development (KFAED) signed two memoranda of understanding (MoUs) with the UK’s Foreign, Commonwealth and Development Office (FCDO) to deliver joint emergency humanitarian aid to conflict-affected populations in Sudan and Somalia. Both sides will jointly provide a humanitarian grant totaling USD10 million – USD5 million from each party to support the United Nations Children’s Fund (UNICEF) in Sudan.
