The Kuwait Fund for Arab Economic Development (KFAED) today signed a 3 million Kuwaiti dinar loan agreement (approximately $9.8 million) with the Republic of Cape Verde to finance a health infrastructure project involving the construction, rehabilitation, and equipping of medical facilities.

The agreement was signed during the World Bank-IMF Spring Meetings in Washington, D.C., between the Cape Verdean government and KFAED. Cape Verde's Minister of Finance Olavo Correia signed on behalf of his government, while KFAED's Acting Director-General Waleed Al-Bahar represented the Fund.

Project Details:

• Objective: Enhance Cape Verde's healthcare sector by improving medical service quality and efficiency

• Scope:

  • Construct new medical buildings

  • Rehabilitate and equip hospitals and health centers

  • Provide modern diagnostic and specialized treatment services

• Impact:

  • Better medical care to save lives

  • Positive socioeconomic development effects

  • Poverty reduction

• Financing:

  • KFAED's loan covers 82% of total project costs

  • Cape Verdean government to fund the remaining 18%

Bhutan Hydropower Project Agreement

In a separate signing during the Spring Meetings, KFAED inked a 5 million Kuwaiti dinar loan (about $16 million) with Bhutan's government to co-finance the Punatsangchhu (Puna) Hydropower Project.

Key Project Benefits:

✔ Clean Energy Production:

• 25 MW generation capacity (two units)

• Estimated annual output: 104 GWh

• 3-year implementation timeline

✔ Sustainable Development Goals Alignment:

• Affordable and clean energy (SDG 7)

• Industry innovation and infrastructure (SDG 9)

• Climate action (SDG 13)

• Poverty reduction (SDG 1)

✔ Economic Advantages:

• Meet Bhutan's growing domestic power demand

• Reduce winter energy imports

• Enable summer surplus electricity exports

"These agreements reflect KFAED's commitment to supporting vital infrastructure projects that drive sustainable development in partner nations," stated Acting DG Al-Bahar.

Participating Countries:
The Spring Meetings brought together representatives from 19 Arab nations including Kuwait, Saudi Arabia, UAE, Egypt (host), and others.

Note: All currency conversions use current exchange rates (1 KWD ≈ 3.27 USD).