File Photograph
The financial institution financing of the Hafeet Rail community mission, connecting the UAE with the Port of Sohar in Oman, has a complete worth of $1.5 billion in mission finance debt.
The financing was secured by Emirati and Omani banks along with regional and worldwide banks, throughout typical and Islamic tranches in each UAE dirham and Omani Riyal currencies.
Keep updated with the most recent information. Comply with KT on WhatsApp Channels.
The 238km lengthy railway community – to incorporate 60 bridges, some towering as much as 34 metres in peak and tunnels stretching 2.5km in size – will hyperlink 5 main ports and varied industrial and free zones throughout the 2 nations.
As soon as operational, the railway will lower the journey time between Abu Dhabi and Sohar to only 100 minutes, with freight trains reaching speeds of 120 kmph.
Passenger trains can accommodate as much as 400 travellers in every prepare, at a velocity of 200 kmph.
A single freight prepare journey on the community is predicted to move greater than 15,000 tonnes of cargo, or roughly 270 customary containers. Sectors set to learn from this new capability vary from mining to iron and metal, agriculture and meals, retail, e-commerce, and petrochemicals.
The Omani-Emirati railway community mission is the primary hyperlink in a unified transport and logistics chain that may span the area, delivering mutually helpful socioeconomic and aggressive benefits.
The joint community pays homage to Jebel Hafeet, holding historic significance and strategic significance to each nations and goals to strengthen commerce ties, enhance tourism, and improve connectivity between the 2 nations and the broader area.
Hafeet Rail efficiently diminished the required financial institution financing for the Emirati-Omani rail community from the initially introduced $3 billion to $2.5 billion. The corporate is optimising sources whereas advancing the event of this important mission.
The joint community unites Etihad Rail, Oman Rail, and Mubadala. Etihad Rail and ASYAD Group maintain the most important shareholder stakes within the three way partnership, Hafeet Rail. The Hafeet Rail mission aligns with each the UAE’s Centennial Plan 2071 and Oman Imaginative and prescient 2040, fostering financial development, social cohesion, and sustainable improvement in each nations.
Abdulrahman Al Hatmi, CEO of Asyad Group, stated: “The robust curiosity proven by main banks in each nations to finance the mission displays the robust confidence on this strategic funding. The joint Emirati-Omani rail community mission will undoubtedly improve the competitiveness of each nations and the area as a significant industrial and funding hub, connecting them to international markets via the ports and state-of-the-art airports.”
Shadi Malak, CEO of Etihad Rail, stated: “By connecting the UAE Nationwide Railway Community with Sohar Port, we’re creating a significant artery for commerce, unlocking new efficiencies, and solidifying the area’s place as a world logistics hub. The bond between the UAE and Oman has lengthy been cast in a shared historical past, and in the present day, with Hafeet Rail, we’re weaving a brand new strand of progress, prosperity, and boundless alternative for our folks.”
Commonplace Chartered, in its capability as Lead Monetary Advisor, performed a pivotal function in procuring the required debt funding for the mission’s improvement since early 2023. First Abu Dhabi Financial institution acted because the Co-Monetary Advisor.
The consortium of banks concerned on this financing settlement from the UAE are Abu Dhabi Industrial Financial institution, Arab Financial institution, Industrial Financial institution of Dubai, First Abu Dhabi Financial institution, Nationwide Financial institution of Kuwait, Commonplace Chartered Financial institution, Abu Dhabi Islamic Financial institution, and Financial institution Ajman.
The settlement additionally included 9 banks from Sultanate of Oman, together with Ahli Financial institution, Financial institution Dhofar, Financial institution Muscat, Nationwide Financial institution of Oman, Oman Arab Financial institution, Ahli Islamic Financial institution, Financial institution Muscat (MeethaqIslamic Banking), Financial institution Nizwa, and Alizz Islamic Financial institution.
Sheikh Theyab bin Mohamed bin Zayed Al Nahyan, Deputy Chairman of the Presidential Courtroom for Improvement and Fallen Heroes’ Affairs, and Chairman of Etihad Rail, attended the announcement ceremony for the profitable financial institution financing.
The announcement was made in the course of the inaugural World Rail Transport Infrastructure Exhibition & Convention – World Rail 2024, held in Abu Dhabi beneath the patronage of His Highness Sheikh Mansour bin Zayed Al Nahyan, Vice President, Deputy Prime Minister and Chairman of the Presidential Courtroom, with the assist of H.H. Sheikh Theyab bin Mohamed bin Zayed Al Nahyan, Deputy Chairman of the Presidential Courtroom for Improvement and Fallen Heroes’ Affairs, and Chairman of Etihad Rail.
The announcement ceremony was additionally attended by Sheikh Nasser bin Sulaiman Al Harthy, Deputy Chairman for Operations on the Oman Funding Authority and Chairman of the Board of Administrators of Asyad Group, together with members of the Board of Administrators of Hafeet Rail, the developer and operator of the Omani-Emirati railway community, and various officers from the financing entities.
ALSO READ:
