Saudi Arabia’s King Salman has announced an agreement with Egypt to build a bridge over the Red Sea connecting the two countries.

The monarch made the announcement in televised comments on the second day of his visit to Cairo after meeting the Egyptian president, Abdel Fatah al-Sisi.

“I agreed with my brother his excellency President Abdel Fatah al-Sisi to build a bridge connecting the two countries,” Salman said. “This historic step to connect the two continents, Africa and Asia, is a qualitative transformation that will increase trade between the two continents to unprecedented levels.”

Sisi, who earlier presented the king with the ceremonial Nile Collar, Egypt’s highest honour, suggested they name the crossing King Salman bin Abdel Aziz Bridge.

Following the announcement, representatives of both countries signed 17 investment deals and memorandums of understanding.

An Egyptian official said the deals agreed with Saudi Arabia during Salman’s visit would amount to about $1.7bn (£1.2bn). They include an agreement to build a university and homes in South Sinai, and a power plant.