Duqm port authority signs $265m finance agreement

BEIJING: A loan agreement for $265 million was signed by the Special Economic Zone Authority in Duqm (Sezad) with China-based Asian Infrastructure Investment Bank (AIIB). This is for funding the second phase development at Duqm Port. The package is related to implementing the commercial terminal within the port.

Sezad will receive $265 million worth of loan, which will be repaid in installments for a period of 25 years, including fiveyear grace period. The finance has been availed at a competitive price and low finance fees compared to other financing agencies. The Sultanate is one of the leading countries that contributed to the China-based AIIB.

Yahya bin Said Al Jabri, chairman of the Special Economic Zone Authority in Duqm (Sezad) on Monday signed the agreement with Dr. D J Pandian, AIIB vice president and chief executive officer for investment.

Signing this agreement is part of Sezad’s commitment to complete all infrastructure projects related to Duqm Port by 2020 and achieve the authority’s vision of enhancing the role of the Special Economic Zone of Duqm (SEZD) and attract more investments at the various industrial, business and tourism sectors.

Scores of infrastructure, industry, business, tourism, logistic and real estate projects are currently underway at the free zone. Sezad signed three key pacts last year to complete the remaining works at Duqm Port as part of its plan to prepare the port for commercial operations. These agreements are related to the second, third and fourth packages of the port at a total cost of OMR239.9 million.