QIB signs deal to finance Medco project
IQBAL DOHA MEDCO (Middle East Dredging Company), which recently bagged a QR4.5 billion contract to dredge the approach channel for the New Port Project in Qatar, has signed a financing deal with the Qatar Islamic Bank (QIB).
The agreement was signed by QIB Acting CEO Ahmad Meshari and Chairman of Medco Abdulrahman A Abdulghani, on Monday.
The financing agreement will enable Medco to purchase the necessary machinery, equipment, labour and other works needed to execute the contract.
“Our partnership with Medco will reinforce our role as a leading bank for providing financial support to the market,” Meshari said in a statement.
“The financing agreement of this size confirms that the QIB is capable of providing Islamic financing solutions that enable large companies to execute large projects,” he said.
According to Meshari, the investment climate in Qatar offers promising opportunities and that is why the QIB concentrates nearly its entire financing portfolio on the local market.
Speaking on the occasion, Medco General Manager Laurent Closset said, “the agreement further strengthens the solid position of Qatari banks and companies.” The QR27 billion New Port project is a major gateway to Qatar, and includes the constructing of a New Port to serve future development expanding trade needs of Qatar for 2030 and beyond.
It will cater for the expected growth in container traffic, it shall also accommodate for general cargo traffic, vehicle imports, livestock imports, bulk grain imports, offshore support vessels, cruise vessels, coastguard vessels and a marine support unit.
The New Port will be developed in several phases to include three Container Terminals with a combined annual capacity in excess of six million containers per year and a railway station connected to the GCC railway network.