Azerbaijan ratifies watersupply agreement with Saudi Fund for Development

Azerbaijan's Milli Majlis (Parliament) ratified the loan agreement between Azerbaijan and Saudi Fund for Development for Reconstruction & Upgrade of Baku Watersupply & Sewage System on April 2nd.

Under the Agreement, works on the project will end until Dec. 31, 2011.

The project will cover territory of settlement “20th District” in the area of Bibi Eybat.

Today 1,200 ha out of 2,700 ha of this area lays unused.

As many as 58,500 persons are residing on this territory and for the next 15 years the local population is likely to rise up to 170,000.

Besides watersupply lines, there will be assembled plants for treating of 50,000 cub. metres of waste water.

The SFD is to finance 93.75 million riyals ($25 million) for 20-year period with 5-year grace term.

Loan annual rate is 2%. Overall cost of the project is $63 million (AZN 263.5 million).

The Azerbaijani government is to repay the loan by half-year tranches by 3.125 million riyals.


/Abc.az/