São Paulo – This Tuesday (17th) in Tunis, the Tunisian capital, Kuwait and Tunisia have signed an agreement for a US$ 29.75 million loan from the Kuwait Fund for Arab Economic Development (KFAED) for building a road ring around the city. This is yet another Kuwaiti loan to support Tunisia, in North Africa. Kuwait’s government news outlet Kuna says 33 loans have been granted so far, adding up to US$ 547.75 million.
The money will be spent on implementing the second section of the road ring around Tunis. This stage of the project comprises the building of a two-way stretch spanning 15 km, plus a drainage system, paving, signaling and five overpasses.
The Tunisian government expects the road ring to reduce traffic jams, cut freight and travel costs and increase integration with the North of the country. The motorway will span 75 hectares comprising 199 plots, mostly privately owned.
The deal was signed by KFAED director-general Abdulwahab Al-Bader and by minister of Development, Investment and International Cooperation Yassin Ibrahim. The minister said the loan can be repaid over 20 years, with a four-year grace period. The interest rate is 2% per annum.
Tunisia’s TAP news agency has reported that the Kuwaiti loan will cover roughly 70% of the total budget for this project.
*Translated by Gabriel Pomerancblum
