Abu Dhabi Fund pledges USD 40 mn loan for airport development

Minister of Finance and Treasury, Ahmed Munawwar has announced Abu Dhabi Fund has pledged a USD 40 million loan for the development of Ibrahim Nasir International Airport (INIA).

OPEC Fund for International Development (OFID) granted a USD 50 million loan with a grace period of four years, payable over 14 years this Sunday.

Minister Munawwar announced that Abdu Dhabi Fund has also pledged a loan, after signing the loan agreement between OFID and Maldivian government in a function held at Hotel Jen, this Sunday.

Minister Munawwar announced that Abu Dhabi Fund had pledged a loan of USD 40 million.

“We are awaiting a final decision of the Board [of Directors] of Abdu Dhabi Fund. The Board is expected to grant a USD 40 million loan,” said Munawwar.

Minister Munawwar said that the government expected the amount of financial assistance by the institutions to go up as the project progresses.

“An additional USD 50 million by OFID, and the Saudi Fund also agreed to grant the same amount,” he said.

Minister Munawwar said a round-table discussion would be held with financial institutions which has granted financial assistance for airport development during the first quarter of 2017.

“We will have a round-table discussion with all the funds. The purpose is to update them on the progress of the project. God willing, the meeting will be held next year. We will analyze the need for additional funding and work on arranging additional funding,” said Munawwar.

USD 570 million of the USD 800 million needed for the airport development project has been arranged via loans.

The amount includes USD 100 million loan by Saudi Fund for Development, USD 50 million loan by Kuwait Fund, USD 370 million loan by Exim Bank of China, and the USD 50 million loan by OFID.

Maldives Airports Company Limited (MACL) has invested USD 50 million from its own funds.