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KFH: 200 Million Euros Credit Facility to Limak for Çanakkale Bridge in Turkey

Kuwait, 27 March 2018: Group Chief Executive Officer at Kuwait Finance House (KFH), Mazin Saad Al-Nahedh emphasized the efficiency of Islamic finance instruments in providing financing solutions that meet customers’ requirements while reflecting the world leadership position of KFH in the Islamic finance industry and the excellence in providing a wide range of comprehensive sharia-compliant financial services as per highest international standards of reliability and quality.

Al-Nahedh’s statement was made on the occasion of the 200 million euros credit facility provided by KFH, together with its subsidiary, KFH-Turkey to Limak Insaat, one of world’s leading contractors, for the construction of Çanakkale Bridge in turkey, indicating the strategy of KFH Group focuses on the markets in which it operates, which enjoy high competitive advantages. He pointed out that the Turkish market is a major market for the Group, a rich and diverse, and full of investment opportunities.

Limak received credit facility from 24 banks and financial institutions from 10 countries, including South Korea, Germany, France, Italy, United Arab Emirates (UAE), Kuwait, China, Britain, Denmark and Turkey of a total of 1.6 billion euros, representing 70 percent of the 2.3 billion euros. The credit facility has a maturity of 15 years with a 5-year grace period.

Meanwhile, construction continues on the Çanakkale Bridge, whose ground-breaking ceremony was held on March 18 -2017. The bridge will be the longest suspension bridge in the world with a 2,023-meter main span and 318-meter-high towers. It is expected to be ready in 2023.

KFH has recently signed a KD 124.6 million Syndicated Credit Agreement to facilitate construction works of Kuwait International Airport New Passenger Terminal II currently being constructed by Limak. The project is considered to be one of the most important construction and infrastructure projects under Kuwait’s development plan. It builds on KFH’s growing track-record of financing mega-projects with advanced sharia-compliant financing solutions. The terminal is designed to serve 25 million passengers per year.