Muscat: The Government, represented by the Ministry of Finance, and the Arab Fund for Economic and Social Development (AFESD), yesterday signed two loan agreements worth OMR150 million for financing development projects.
The two agreements were signed by Darwish bin Ismail Al Balushi, Minister Responsible for Financial Affairs and Abdullatif Yousef Al Hamad, Chairman, Director General of the Arab Fund for Economic and Social Development (AFESD).
The first agreement worth of OMR89 million will be utilised in financing part of the project for enhancing the water pipelines in the Governorates of Al Batinah (from Sohar to Barka).
The funding represents 70 per cent of the total cost of the project (OMR127 Million).
The project will meet the growing demand for potable water and the growing future needs of the Governorates of North Al Batinah and South Al Batinah.
The water pipeline will be extended from Barka water desalination and Sohar water desalination plants, which are almost complete.
The 140 km water pipelines will reduce water service interruption in both governorates and will provide drinking water for population. They will also meet the needs of the industrial, tourism projects and public utilities in both governorates.
The second agreement worth OMR61 million will be utilised to finance improvement and expansion of the 3rd and 4th parts of Sinaw-Mahout-Duqm road. The funding represents 70 per cent of the total cost of the project (OMR86.8 million).
The project aims at contributing to improving land transport services at the main interchanges at the road network, meeting the needs of growing transport activity, reducing traffic accidents and enhancing the socioeconomic growth in the areas at which the project passes.
The project includes a parallel road to the existing road, in addition to improving and expanding the 129 km long road between Sinaw-Mahout-Duqm.
The road consists of two lanes, each 3.75-metre-wide, with 2.5-metre-wide side shoulders at each direction.