The Republic of Madagascar and the Arab Bank for Economic Development in Africa (BADEA) have signed an US$11 million loan deal for a road project in the African nation.
BADEA boss Abdelaziz Khelef and the Malagasy Minister of Finance and Budget Jean Razafindravonona signed the deal during a visit by the former to the country, according to a BADEA statement obtained by PANA here Monday.
The road project aims at improving traffic and reducing the cost of transport in the central part of the country, which is famous of its livestock and agricultural production.
The loan is repayable in 30 years, including a grace period of 10 years, and at an annual interest rate of 1%.
With the latest loan, BADEA’s total commitments to Madagascar amount to US$124.8 million.