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FINANCIAL NEWS
Report: Saudi Emaar Economic City to get $1.3b loan
27 May 2010
(MENAFN) Saudi Emaar Economic City, affiliated to UAE-based Emaar Properties, is due to receive a $1.33 billion loan from the Saudi finance ministry in 2010, according to two sources familiar with the deal, Reuters reported.
The Saudi firm is spearheading the development of King Abdullah Economic City making it one of the country’s most ambitious projects, in line with the government’s plans to diversify the kingdom’s oil-based economy.
Sources reported that Emaar Economic City will get the loan this year as it has been approved but it is just a matter of documentation.
The project, which aims at building a new high-tech city on the Red Sea coast with business, industrial, leisure and residential estates as well as a giant port, has been dogged by delays and lower-than-expected demand from local and foreign investors.
This loan would aid Emaar Economic City to speed up the development of the city, according to the sources cited by Reuters.
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