Manama: Kuwait Fund for Arab Economic Development signed a loan agreement with the Government of Bahrain, valued at KD 31.25 million (about USD 100 million), to finance the overhauling of 220 kV and 66 kV electricity transmission networks. The agreement was signed in Bahrain by KFAED Acting Director General Waleed Al-Bahar and Bahraini Minister of Finance and National Economy Sheikh Salman bin Khalifa, with the presence of the Charg© d'Affaires of the Kuwaiti Embassy in Manama, Counselor Yousef Al-Banawan.
According to Kuwait News Agency, the project aims to strengthen and develop the 220 kV and 66 kV electricity transmission networks to meet the increasing demand for electricity in the Kingdom of Bahrain. The project includes the construction of three 220/66 kV substations, seven 66/11 kV substations, and the expansion of Al-Dur substation. It also involves supplying and installing 220/66 kV underground cables to connect the new substations with the existing Sahel Al Zallaq substation, in addition to providing auxiliary, communication, control, and monitoring equipment for the new and existing substations at Sahel Al Zallaq and Sadad.
The KFAED noted that the project's total costs, based on signed and completed contracts including taxes, are estimated at approximately KD 63.8 million (nearly USD 207.7 million), with about KD 42.1 million (or USD 137 million) in foreign currency. This represents the fifth loan from the Fund for the electricity transmission network development project in Bahrain and the 23rd loan offered to Bahrain overall. In the past, the Fund has extended 22 loans to Bahrain, totaling KD 281 million (approximately USD 915 million).