Planning a model city for refugees, private investors propose a bold solution to the migration crisis
At first glance, it sounds like a utopian dream. A Swiss entrepreneur envisions a new Hong Kong – built for refugees. Yet behind the scenes, negotiations to secure land at a confidential location are already well underway.
Albert Steck, February 3, 2025
Christian Kälin holds up a map, his finger landing on the spot where he envisions a model city for refugees. The site spans thousands of football fields. «Once the government gives us the green light, we’ll have cleared the biggest hurdle,» he says.
Securing investors, by contrast, is the lesser challenge – despite the project’s price tag of at least $700 million. In its initial phase, the city is designed to accommodate 20,000 people. The long-term ambition? A population of 1 million.
Not long ago, Kälin’s vision of a refugee haven – his attempt at building a new Hong Kong – seemed little more than a utopian fantasy. The NZZ first reported on the project in 2022, noting both the doubt and the potential. Now, at 53, the Swiss entrepreneur is on the verge of proving the skeptics wrong.
A direct line to the halls of power
Kälin’s progress is largely thanks to his extensive network. It is no coincidence that he is known as the «Passport King.» As the driving force behind Henley & Partners, he has turned the firm into the world’s largest broker of citizenships and residency permits – «golden visas.» By his own account, the company has ties to governments in one out of every three countries worldwide.
The second factor fueling Kälin’s project is the sharp escalation of the migration crisis, particularly in Europe. In just a decade, the number of displaced people worldwide has doubled to more than 100 million. Public frustration is mounting, giving anti-immigration parties a growing foothold across the globe.
But how can refugee policy break free from its current deadlock? Suddenly, Kälin’s proposal is gaining traction – including during the World Economic Forum in Davos. Speaking passionately at an exclusive roundtable, he touted the project’s progress. The location of the prospective city remains under wraps for now – only that it is outside the European Union. But negotiations, he insists, are well advanced. After the discussion, he was set to meet again with the head of government from the host country, working through a newly formed task force to push the plan forward.
As Kälin unveiled his vision, a lively debate broke out among the dozen or so attendees – mostly entrepreneurs, specialists, and potential investors. Egyptian billionaire Samih Sawiris, who built his fortune developing luxury resort towns, zeroed in on a key concern: connectivity. «The most important factor is global access,» he says. «An hour’s drive to the nearest airport is the absolute limit – anything beyond that will deter investors.» Kälin acknowledges that the closest international airport is about two hours away by car. However, he notes, there are plans to expand a nearby military airfield.
A new district built in Cairo
Sawiris knows a thing or two about building cities from scratch. He has developed massive tourism projects along the Red Sea in El Gouna and in the Swiss Alps in Andermatt. But his expertise extends beyond high-end resorts – outside Cairo, he developed Haram City, a district for low-income residents, which is now home to 50,000 people. He has not yielded any profit from this project, he insists.
Samih Sawiris praises the concept of an autonomous refugee city. «Governments spend billions on migration policies, but much of that money is poorly invested. Kälin’s model could offer a way to harness the skills and work ethic of refugees more productively.»
Kälin says that his city is not just a humanitarian initiative – it is also a business model. «Right now, we treat refugees as charity cases, offering them no real prospects. As a result, many end up in the informal economy or, worse, turn to crime.»
His plan is to ensure that residents can work legally, own property and pay taxes. For this to work, the settlement needs investors and clearly defined borders. «This will allow us to prevent uncontrolled movement.» In addition, all residents must apply for residency and sign a contract, explains Kälin: «By doing so, they agree to return to their home country if they violate the city’s rules.»
Kälin explains that aspects of his project are inspired by Canada’s immigration model, where skilled refugees with the right qualifications are selected for resettlement. «The idea is that immigrants should be able to build their own livelihoods through their own efforts,» he says. «That’s far more humane than reducing them to welfare recipients, many of whom aren’t even allowed to work.» He sees particular potential in the health care sector, where demand for workers could create new job opportunities.
Kälin is well aware that his approach runs counter to prevailing policies. But the numbers, he argues, are sobering: On average, a displaced person spends 17 years in a refugee camp. Even in the European Union, overcrowded shelters have prompted governments to outsource asylum processing. Italy, for instance, plans to spend €600 million on an offshore reception center in Albania – one designed to accommodate just 3,000 people.
More and more people will be on the move
«With record numbers of displaced people and mounting migration challenges, fresh thinking and unbiased solutions are urgently needed,» says Peter Maurer, former president of the International Committee of the Red Cross. He sees the concept of an autonomous refugee city not just as an ambitious vision but as a good road map – one that leaves no stone unturned.
Kishore Mahbubani, a former president of the U.N. Security Council, is also among the project’s backers. He points to the growing demographic gulf between the Global South and the North as a key argument in favor of Kälin’s plan. In 1950, Europe’s population was twice that of Africa. Since then, Africa’s population has doubled, and by the end of the century, Mahbubani projects, there will be 4.3 billion Africans compared to just 630 million Europeans.
The pressure for migration from Africa will only intensify, he warns. To counter this, he argues, refugee cities must be established across the African continent – and European companies should be encouraged to invest in them. «The logic is simple: if Europe doesn’t export jobs to Africa, Africa will export its people to Europe.»
Kälin confirms that he and his team are in discussions with governments across multiple continents. Beyond his flagship initiative, two additional locations are already in advanced planning stages. Smaller nations, he notes, tend to be more receptive due to their more agile decision-making structures.
He is well aware that his project may never come to fruition. But even if it doesn’t, he believes the effort is worthwhile if it shifts the debate toward a more pragmatic refugee policy. «One thing I can say with confidence,» Kälin insists, «is that despite the significant hurdles, our concept is the closest to being feasible among all the alternatives.»
See link to article: https://www.nzz.ch/english/entrepreneurs-eye-model-city-as-a-bold-solution-to-migration-crisis-ld.1868224