Two loan Agreements were Signed to Help Finance Projects in Egypt
Two loan agreements totaling KD 110 Million were signed in Manama on the 5th of April 2016 to help finance two projects in the Arab Republic of Egypt.
The loan agreements were signed by H.E. Dr. Sahar Naser, Minister of International Cooperation, on behalf of the Egyption Government, and by H.E. Mr. Abdlatif Yousef Al-Hamad, Director General/ Chairman of the Board of Directors of the Arab Fund, on behalf of the Fund. Below are the details of these loans and the projects they will help finance:
First Project: Damanhour Combined Cycle Power Generating Station (1800MW)
A loan agreement, valued at KD 60 million, was signed to help finance a project to satisfy the rising demand for power and energy, by increasing the installed power generation capacity in the West Delta area by 1800 MW. This will be accomplished through the construction of a thermal power generating station, north of the City of Damanhour, comprising two combined cycle modules that run on natural gas their primary fuel.
The project includes the following main components:
1 - Electromechanical, thermal, and Electrical Equipment, Tools and Accessories.
2 - Electrical Installations.
3 - Mechanical Installations.
4 - Switchyard and Control System.
5 - Water Treatment System.
6 - Civil Works.
7 - Technical Services and Insurance.
Second Project: Water Supply and Development of the Agricultural System in the Sinai Peninsula
A loan agreement, valued at KD 50 Million, was signed to help finance a project for supplying water for drinking and irrigation purposes, and developing the agricultural system, in 15 development communities to be established to settle bedouins. These communities, which will host agricultural and industrial activities, constitute one of the components of the Sinai Peninsulaís Development Program, involving the integrated development of 26 communities.
1 - Drilling and Equipping of Ground Water Wells.
2 - Construction of Irrigation System.
3 - Leveling of the Agricultural Land.
4 - Construction of Greenhouses and Installation of Beehives.
5 - Technical Services.
Each of the two loans will carry interest at 3% per annum, and will be repayable over 25 years including a 5 year grace period.
With the signing of these two loans, the Arab Fundís total contribution to financing projects in the Arab Republic of Egypt now amounts to KD 1.437 Billion.