Azerbaijan, Baku, 13 August / corr. Trend I.Khalilova / The Asian Development Bank (ADB) is to approve loan issue in $160mln to implement project to rehabilitate the electricity transmission line in Azerbaijan at the board of directors soon. The Bank's Baku Office said on 12 August. The project costs $220mln.
Project envisages construction of 220 kV double circuit electricity transmission line from the Mingachevir hydropower station to the Absheron substation. Moreover, it is planned to unite 220/110kV substation with 110Kv electricity transmission line.
The project aims to increase capabilities of the electricity transmission system and to reduce regional imbalance in the economic growth through adequate and safe power supply, as well as to expand opportunities of the electricity transmission and to improve the quality and reliability of power supply.
In July, the ADB held talks with the Government of the country on loan agreement. Under the agreement, loan resources will be issued to Azerbaijan on 25-year term with 5-year grace period and libor+0.2% interest rate.
The Government cooperates with the ADB since 1999 and so far, the bank has issued $304mln loan for the country under the state guarantee.
On 12 August, the official currency rate is 0.8136 AZN/USD.
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