Bahrain, Kuwait agree $1bn financing agreements

Deals cover plans for housing projects; part of grant provided to Bahrain by Kuwait via the Gulf Development Programme
Bahrain, Kuwait agree $1bn financing agreements
Bahrain Finance Minister Sheikh Ahmed bin Mohammed Al Khalifa. (Yasser Al-Zayyat/AFP/Getty Images)
By Staff writer
Wed 24 Aug 2016 02:06 PM

Two financing agreements, with a value of more than $1 billion, have been signed between the Government of Bahrain and the Kuwait Fund for Arab Economic Development (KFAED).

Sheikh Ahmed bin Mohammed Al Khalifa, Bahraini Minister of Finance, and Hamad Suleiman Al Omar, deputy director-general of the Fund, signed the agreements, which are part of a grant provided by Kuwait within the Gulf Development Programme, news agency WAM reported, citing Bahrain News Agency.

The first agreement involves an amendment to a previously signed agreement between the two parties with regard to housing projects at Al Madina Al Shamaliya and East Hidd.

Under the new provision, the total amount of the funding will reach $996 million, in order to finance additional housing units in the project and associated infrastructure works.

Infrastructure works for Salman Industrial City were the subject of the second agreement, with a value of $32 million. This includes improvement and rehabilitation of roads, water, drainage and sewage networks.

Officials from Bahrain and the Kuwait Fund have previously signed seven agreements in the last three years, involving a wide range of projects in the housing, works, electricity and social development sectors, with a total value of $2.3 billion.

For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.

Subscribe to our Newsletter

Subscribe to Arabian Business' newsletter to receive the latest breaking news and business stories in Dubai,the UAE and the GCC straight to your inbox.