Share on Facebook
March 2009 - Business News
March 2009

Infrastructure loans for Syria

The Arab Socio-Economic Development Fund (ASEDF) on February 11 awarded Syria three loans to finance gas, electricity and transport projects.

The loans are valued at SYP 1.21bn (USD 257.4m), with a 3 percent annual interest rate and a repayment period of 22 years, with a possible five-year extension.

Syrian Finance Minister Muhammad al-Hussein said Syria would use the loans for the expansion of Deir Ali power station, stage 3 of the Arab Gas Pipeline and for road upgrades between Deir ez-Zor and Abu Kamal.

“Syria has always maintained a good relationship with the ASEDF,” Hussein told reporters following the signing ceremony. “With these three loans, the fund will have provided Syria with USD 2bn for different development projects since its establishment.”

ASEDF is a Kuwait-based Arab financial institution open to members of the Arab League. The fund has financed 50 projects in Syria to date. It is presently considering two additional loans for major water infrastructure projects.