Govt signs E100 million loan with Kuwait Fund

GOVERNMENT has secured a US$12.5 million (approx E100 million) loan from the Kuwait Fund for Arab Economic Development to finance the construction of the road connecting Sikhuphe Airport with Mbadlane.

The loan agreement was signed by the Minister of Finance Majozi Sithole with the head of the Kuwait delegation Hesham Al-Waqayan, who is also the Deputy Director General of the Kuwait Fund for Arab Economic Development.
Sithole said the loan project aims to link the new Sikhuphe International Airport with national roads network to meet the future increasing demand for the transport of passengers and goods in a road that is safe to use, in all weather.
“The loan project includes civil engineering works for the construction of new asphalted road connecting the new Sikhuphe Airport to MR3 at Mbadlane, with a length of about 18 kilometres. It consists of a dual-carriage way.
project
“The project is expected to start in 2009, to be completed by the end of 2010. The total cost of the loan project is estimated at about E250 million. The fund loan will cover about 54% of the cost of the project.
“The loan will be for a period of 20 years including a three-year grace period, and will be amortised in 34 semi-annual instalments, the first of which will be due on the 1st date on which any interest or other charge on the loan shall fall due after the elapse of the above mentioned grace period.”
The minister said this was the second loan agreement that the Fund provided to Swaziland. Previously, the Fund extended to Swaziland a loan of US$10.54 million for financing a project in the transport sector.
Meanwhile, Hesham Al-Waqayan said Kuwait was proud to be associated with the Kingdom of Swaziland.
“I also met His Majesty King Mswati III who was very pleased to receive the Kuwait delegation,” he said.

Add to: del.icio.us | Digg