Azerbaijan launches first ADB multi-tranche financing for water economy

Azerbaijan, Baku, July 6 / corr Trend I.Khalilova /

To continue water supply and sewage services improvements, Nakhchivan has already begun to implement the first cut of its multi-step MFF financing system, supplied by the Asiatic Development Bank (ADB) for water services in Azerbaijan, the Baku bank representative said on Tuesday.

"The ADB has allocated $75 million out of the MFF to fully cover two regions (Nakhchivan and Goychay), including $28 million allocated for the Nakhchivan Autonomous Republic," the source said.

The contractor carrying out construction works in Nakhchivan is "Gemi Qaya", selected as the regional executor of the project. The decision was made by the State Committee for Land Reclamation and Water Management of the Nakhchivan Autonomous Republic.

"Work in this field continues to be realized in relation to a plan based on the first credit of $30 million, granted in 2004 for the rehabilitation of water supply systems in Agdash, Gekchai, and Nakhchivan", the government said. "Nakhchivan was allocated $10 million from this fund."

A water purifying device is planned to be built in this area for the first time, with a tender issued specifically for this respect. Some $10 million is required to construct a water purifying plant.

The ADB dispatched an engineer to Azerbaijan to become familiar with the work done in Nakhchivan and Goychay.

Followingtheunsuccessfultender , anewestimatewasdevelopedtoimprovewaterandsanitationservicesinGoychay .

Under the proposed prices of the contracting companies, within the perimeters set by the tender announced by Azersu, the costs exceed 100 percent of the real price. In this regard, new cost estimates for price revisions must be prepared by a consultant from the Asian Development Bank

Azersu issued a repeated tender for Goychay to determine contractor and tender procedures. These are expected to stop by July 25.

To date, the ADB has financed two projects to improve water and sanitation services.

ADB and the Azerbaijani government signed a loan agreement on the first tranche of $75 million on Dec.17, 2009, as part of the MFF, for the implementation of the water supply and sewage services improvement in Goychay and Nakhchivan. The funds are designed to finance work in two regions, although plans previously anticipated three regions. The project's initial cost hit $39.9 million. Funding for the project expires on June 30, 2011.

Under the loan agreement, the ADB's first tranche loan of $75 million is allocated for a 24-year term with a four-year grace period and interest set according to its LIBOR-based lending facility. The Azerbaijani government is providing $25 million.

The first tranche will cover additional costs associated with the project's rising costs for improving water supply and sewage services in Agdash, Goychay and Nakhchivan. The project was approved five years ago and designed in 2004. Prices of construction materials, especially sewage materials, significantly increased over this period. The construction of modern sewage system facilities covered by the project also affects its value. The ADB project also provides for the complete restoration of water supply and sewage services in the selected regions.

The total cost of the MFF was approved in the amount of $600 million by the ADB Board of Directors in Azerbaijan in September 2009.

The AICO Consulting Ltd / European Consultants Organization is the consultant of Azersu on water project.

Azerbaijan discloses number of coronavirus tests
Azerbaijan discloses number of coronavirus tests
Azerbaijan confirms 140 new COVID-19 cases, 101 patients recover
Azerbaijan confirms 140 new COVID-19 cases, 101 patients recover
Azerbaijan reveals 127 new COVID-19 cases
Azerbaijan reveals 127 new COVID-19 cases
Loading Bars
Latest
Expert talks about ways to develop e-commerce in Azerbaijan
Iran sees 'no problem' with launching gas exports to Syria - minister
Georgia's COVID-19 cases climb to 731
Over 12K Georgian citizens brought home since COVID-19 outbreak
Iran hints at stopping export of gas condensate
Turkmenistan to receive loan from OPEC to support local businesses
Uzbekistan increases heat energy production
China supplies innovative drip irrigation technology to Uzbekistan
Uzbekistan increasing fuel production
Turkish president makes phone call to Azerbaijani president
TAV Airports look to turn Kazakhstan's Almaty into regional cargo hub
Turkmenistan, Turkey lay emphasis on co-op in trade, humanitarian sectors
Oil prices not to recover to pre-coronavirus levels as quickly as they fell
Kazakh national postal service operator to buy liquefied gas via tender
Uzbekistan lifts some restrictions to boost construction work countrywide
Azerbaijani oil prices for May 18-22
Iran's Khatunabad copper smelter’s production increases
Kazakhstan sees positive signs with its trade volume with Europe
Iran partially pays subsidies to construction company as part of Mehr Housing Project
Kazakhstan closes off Karachaganak field as COVID-19 cases reported
Iran- Iraq trade via Parviz Khan customs checkpoint resumes
MFA: Armenian PM’s congratulations on occasion of Ramadan - highest level of hypocrisy
COVID-19 cases in Uzbekistan increase to 3,180
FM: Azerbaijan, Turkey - together in joy and sorrow
Cement exports from Turkey to Kyrgyzstan fall sharply
Iran's watermelon exporters in Turkey face dilemma, as business suffers
Iran's foreign currency policy slows down exports
Kazakhstan’s oil producing company to buy pipes via tender
Armenia violates ceasefire with Azerbaijan 23 times
Iran Khodro breaks production record despite COVID-19 pandemic
Georgian banks' net profit up
Aston Martin chief to leave, Mercedes-AMG CEO to replace him
Iran allows high-risk businesses to re-open, with new health rules in place
Chamber of Commerce talks Iranian-Tajik trade amid COVID-19
Onshore oil, gas and condensate fields in Azerbaijan
Iran warns of health protocol as COVID-19 cases soar in some provinces
TANAP consortium talks on creation of operator company
Thailand reports 2 new coronavirus cases, 1 more death
Kyrgyzstan reports 30 new COVID - 19 cases, 1433 in total
Armenia ranks 6th with number of daily confirmed COVID-19 cases per million people
Number of COVID-19 cases surpasses 8,500 in Kazakhstan
BSTDB President: Azerbaijan has substantial buffers to mitigate COVID-19 impact on economy
Syrian troops destroy terrorist unit in southwest of Raqqa province
Chinese mainland reports no new domestically transmitted COVID-19 cases
S. Korea reports 16 more cases of new coronavirus, total at 11,206
U.S. COVID-19 death toll nears 100,000, New York Times calls it "incalculable loss"
White House limits travel to U.S. from Brazil due to coronavirus
Italy's COVID-19 death toll rises by 50 to 32,785
Coronavirus could cost Mexico a million jobs: president
UK COVID-19 deaths rise to 36,793 as another 118 patients die
Israel reports no COVID-19 death cases for 4 consecutive days
5.8-magnitude quake jolts Wellington, New Zealand
Spain's coronavirus death toll rises to 28,752
British PM Boris Johnson defends adviser over apparent breach of lockdown rules
India domestic flights to resume, but coronavirus cases rise
Singapore reports 548 COVID-19 cases
Oil demand projected to drop by more than 10% for 2020
Number of COVID-2019 cases across globe up by over 101,000 in past day - WHO
First Vice-President Mehriban Aliyeva extends Ramadan congratulations to the people of Azerbaijan (PHOTO)
Azerbaijani, Turkish FMs hold phone conversation
Areas-supplied with irrigation system to increase in Iran's Sistan and Baluchestan province
Turkey: Coronavirus recoveries at nearly 120,000
Azerbaijan discloses number of coronavirus tests
Israel limits coronavirus cellphone surveillance to 'special cases'
Hong Kong police arrest at least 180 rioters, several officers injured
Iran starts to provide public transport with dual fuel
Peru registers 115,754 COVID-19 cases with 3,373 deaths
5.3-magnitude quake hits 122km SW of Mapastepec, Mexico
Hong Kong police fire tear gas as thousands protest security law
Russian COVID-19 cases increase to 344,481
Azerbaijan confirms 140 new COVID-19 cases, 101 patients recover
Iran and Turkey may open borders soon
Iran's Esfahan Oil Refining Company discloses amount of spending
Azerbaijani president extends Independence Day greetings to King of Jordan
Metallurgical production surges in Azerbaijan
Production of industrial pipes to surge in Azerbaijan
Over 90% of US investments in Azerbaijan account for oil and gas industry
Iran reveals COVID-19 data for May 24
Facilities to be commissioned at airports of Iran's Mazandaran province
EBRD supports Azerbaijan’s tea industry
Apartment prices up in Iran’s capital
Ministry: Iran's mining sector can be alternative to oil sector
Ecosystem of startup projects developing successfully in Azerbaijan
New committee set up in Iran's Ministry of Industry, Mine and Trade
Goureh-Jask pipeline to accelerate Iran's oil exports
Iran announces volume of cargo loaded and unloaded in ports
Azerbaijan’s Agricultural Insurance Fund develops requirements for founders of management company
Anglo Asian Mining PLC talks about projects on existing fields
Peru registers 115,754 COVID-19 cases with 3,373 deaths
5.3-magnitude quake hits 122km SW of Mapastepec, Mexico
Armenia violates ceasefire with Azerbaijan 22 times
ADB reveals planned loans to be allocated for Azerbaijan in 2020-2022
Afghan Taliban announces 3-day ceasefire during Eid al-Fitr festival
Buenos Aires lockdown extended until June 7 after rise in coronavirus cases
China state planner confident consumption to show improvement in May
Vatican Museums, Holy See's cash cow, to reopen from June 1
5.6-magnitude quake hits Mid-Indian Ridge
Fossil of one of the last megaraptors on the planet found in Argentina
Moroccan king pardons 483 prisoners
Rome exhibition marking 500 years since Raphael's death to reopen in June
All news