Alexander/Greek parentage, M.
Daninos proposed to construct a "new and immense reservoir for Aswan." At the
turn of the century, the increasing Egyptian population was exceeding its agricultural
production and the idea of a dam would help spearhead an increased productivity from the
Nile and the surrounding lands. Therefore, in 1882-1890 British engineers helped implement
the dam project and began working on the original dam of Aswan. The "low" dam.
Completed in 1905 and reconstructed in 1912 and 1933 it was still deemed to be inefficient
due to the threats of severe Nile flooding and a second dam was seen as necessary
Adrien Daninas of Egypt proposed the "high" Aswan dam in 1948. However, an inevitable dilemma was also made clear, in the fact that Egypt did not have sufficient funds to undertake such a grandiose project. The estimated costs were near $1 billion, and it would require outside funding to be achieved. Initial funding was to be obtained through the World Bank, but due to the immense size of the project they too were unable to finance the amount and had to withdraw. At the time, only the United States, Great Britain and the Russian governments had adequate capital to assist with such a project. For political reasons,
mainly stemming from Arab-Israeli relations, the United States and Great Britain
refused to fund the project. With no other alternatives, and an increasing dilemma of
potential droughts and famine facing them, the Egyptian government was forced to negotiate
the construction and financing of the dam with the Russians.
In June 1956, the Soviet Foreign Minister, Shepilov, offered $400 million of Soviet aid
toward the project. Colonel Nasser felt the sum was inadequate and refused the offer as
not being serious. In July of the same year, Amhed Husein, the Egyptian ambassador,
convinced Nasser to make one last appeal for western aid. Three additional years of
negotiation occurred until in September of 1959 a contractual agreement
between the Soviets and Egypt was formed. Russia
agreed to fund the proposal, on the condition that as a major contributor they also be
involved in the decision making on the dam. With no other choice but to comply, Egypt
allowed the Russian government considerable input on the dam construction. As a result of
the Russian input and their desire to keep the plan as simplified and as low cost as
possible, potential impacts of the dam were left unnoticed.