IDB approves loan for Azerbaijan on flood protection activities

Business Materials 11 May 2011 20:15 (UTC +04:00)

Azerbaijan, Baku, May 11 /Trend, I.Khalilova/

The Board of Executive Directors of the Islamic Development Bank (IDB) has approved $64.83 million financing for Azerbaijan Flood Protection, Modernization and Expansion of the Irrigated Areas in Nakhchivan, the bank reported.
The total cost of the four-year project is about $ 80 million, a government source told Trend.
IDB loan consists of two parts: $9.5 million will be provided upon preferential terms - 19 years with a grace period of four years and an interest rate of 2.6 percent, and $55.33 million will be allocated upon non-commercial terms - 14 years with a grace period of four years and the swop rate.
The project envisages construction of shore protection facilities along the Araz River, the construction of secondary canals and other activities.