04.07.2018 – 12:31
Electricity, drinking water and bridges for northern Iraq: KfW provides support to restore necessary infrastructure
Frankfurt am Main (ots)
- Two loan agreements signed in Baghdad for a total of EUR 230 million - Further contribution to regional stability
Today, KfW Development Bank signed two further loan agreements totaling EUR 230 million on behalf of the German Federal Foreign Office. The funds will be used to finance substations, power lines, bridges, roads and drinking water facilities to support the population in the provinces of Niniveh, Al-Anbar and Salah Ad-Din. In November 2017, a first loan agreement in the amount of EUR 45 million was signed to restore the electricity supply in Mosul and the surrounding area. The first companies have already been commissioned to supply the necessary transformers, power lines and substations.
Loans totaling up to EUR 500 million will be made available to help stabilise Iraq. Once the Iraqi provinces in the north of the country were retaken, work began to restore vital infrastructure. For the internal refugees who are now returning to these regions after being liberated from IS rule, not only is it important that mines are cleared, the destroyed electricity and water supply needs to be restored and the roads and bridges rehabilitated.
"Functioning basic services are essential for refugees to return home - and to stabilise the region," said Dr Joachim Nagel, member of KfW Group's Executive Board.
The first deliveries of power lines, substations and spare parts are expected starting in September 2018, so that private households, and also hospitals, schools and food producers can count on construction of the destroyed infrastructure.
"The conclusion of these two agreements is an additional milestone for an important stabilisation project headed up by the Iraqi government. This will help advance reconstruction in the region," said Cyrill Nunn, the German ambassador in Baghdad.
Since 2014, Germany has been committed to the reconstruction and political stabilisation of the country, providing more than EUR 1 billion in the form of humanitarian aid, stabilisation measures and long-term development co-operation. Germany also advises Iraq on political and economic reforms and military training.
More information on KfW Development Bank is available at: http://ots.de/ntHiIG
Original content of: KfW, transmitted by news aktuell