The Arab Bank for Economic Development in Africa (BADEA) has given a US$10 million loan to Kenya as part funding for the rehabilitation of water supply and sewerage for Oloitkitok Town.
PANA reported Monday that the agreement for the loan was signed during the visit to Kenya last month by BADEA Director General Abdelaziz Khelef
The project aims to support the Kenyan government’s plan to expand the water supply and sewerage services in order to increase the percentage of residents to benefit from the services by 50% in 2015 and 90% in 2030, as part of efforts to meet the Millennium Development Goals and the Kenya 2030 Vision.
The loan, which is repayable in 30 years, including a 10-year grace period, has an annual interest rate of 1%.
With the new loan, BADEA’s total commitment to Kenya has reached US$144.640 million.
BADEA, which started operations in March 1975, is a financial institution owned by 18 Arab countries that are members of the League of Arab States (LAS).
Based in Khartoum, the capital of Sudan, the bank was created to strengthen economic, financial and technical cooperation between the Arab and African regions by participating in financing economic development in African countries; stimulating the contribution of Arab capital to African development and providing the technical assistance required for the development of Africa.