Azerbaijan, Baku, Feb. 6 / Trend I.Khalilova /
Visit of the Islamic Development Bank (IDB) mission, headed by Murad Choek is expected to Baku on February 11 to discuss the possibility of funding a new irrigation project in Nakhchivan, , Baku office of the bank told Trend on Tuesday.
"The project of irrigation and reclamation activities for development of agriculture in Nakhchivan is included in the program of cooperation between Azerbaijan and the IDB for the period between 2011-2013," the office said.
According to the source, the project will be assessed and financing terms will be provided to the Azerbaijani government after considering opportunities of the project's implementation.
During the visit, the mission will also review the implementation of the project for flood protection, upgrading and expansion of irrigated area in Nakhchivan, which received a $64.83 million loan from IDB. The loan agreement for the project was signed in December 2011.
The total cost of the four-year project is about $ 80 million.
IDB loan consists of two parts: $ 9.5 million will be provided on concessional terms - for period of 19 years with a grace period of four years and an interest rate of 2.6 percent, and $55.33 million will be available under non-commercial terms - for period of 14 years with a grace period of four years and a swop rate.
The project includes construction of shore protection structures along the Araz river, construction of secondary canals and other activities.
Azerbaijan is a member of the Islamic Bank since 1991. The country's participation share in the bank's capital is 0.13 percent.
The Islamic Development Bank was established in 1975.