The Suez Canal in Egypt is currently in development to become an industrial and trading hub along the Red Sea and Mediterranean, and play a role in linking trade in the new Silk Road. Mahfouz Marzouk, the Vice President of the Suez Canal Economic Zone, described China's involvement in the area as a successful story.

"I don't call it investment. I call it success stories especially in the southern area of the Suez Canal. We have 210 square kilometers of industrial lands and three ports… Total Chinese investments on the ground in the zone are one billion US dollars. And there is a deal signed for a new factory as well worth 850 million US dollars," Marzouk said. 

Meanwhile, Marzouk believes that the Belt and Road Initiative will benefit economic cooperation between China and Egypt.

"Egypt will be a focal point, not just because of its location but also (in that) the Sokhna port here is a logistical knot for all the African countries on the Red Sea all the way to Ethiopia and covering West Africa... And a Chinese study proved that the cost of production here is 50 percent cheaper. At the same time the Egyptian economy needs the Belt and Road for developing infrastructure, rebuilding the economy and promoting trade and investments," Marzouk explained. 

Recently, the Chinese yuan has become one of the official currencies used in the Suez Canal. "This is an indication of the growing importance of the Chinese yuan against the US dollar,” Marzouk noted.

“At the Suez Canal, we have a currencies basket which now includes the yuan transactions equivalent to three billion US dollars. Having the yuan will create a balance in the international markets and we badly need that balance. Yuan is currently used in the vessels and shipping services only, but there are studies to be used in other sectors in the future. Working with the Chinese currency is important for Egypt as it seeks different sources of hard currency than the US dollar," Marzouk told CGTN.