OPEC Fund for International Development :: Press Release

Press Releases

 

Home   Search   Print

Press Release

Albania receives US$2.42 million loan from OPEC Fund to construct regional hospital

130/2005 December 21, Vienna, Austria
Press inquiries:

The OPEC Fund for International Development today signed a US$2.42 million loan agreement with the Republic of Albania to help finance construction of a regional hospital in the Kavaja region. The project falls in line with government’s aim to provide the population with comprehensive, affordable healthcare.

Health indicators in the west-central Kavaja region are unfavorable, with the 120,000-strong population served only by one small healthcare clinic. As the facility is in poor condition, under-equipped and lacks an operating theater, the range of available treatment is limited. Individuals requiring more specialized care must travel to hospitals in Durres or the capital Tirana. The situation is expected to worsen in light of the area’s rapidly growing population.

In response to this urgent need, a fully-equipped, 85-bed hospital, comprising two-buildings totaling 5,600 m2, will be constructed in Kavaja. In addition to offering emergency and in-patient care, the hospital will have a surgical department and be able to cater to a number of specialties such as internal medicine, pediatrics, obstetrics and gynecology. Once completed, the new facility will provide the area’s inhabitants with high quality medical care and ease the burden on the larger city hospitals.

This is the second loan the Fund has extended to Albania in the support of the health sector, with the first co-financing construction of a hospital in Durres. Four other loans have supported projects in the areas of education, agriculture and transportation. In addition, one loan has been approved in support of the private sector.

Today’s agreement was signed in Vienna by HE Mr. Maksim Cikluli, Minister of Health of the Republic of Albania, and by HE Mr. Jamal Nasser Lootah, Chairman of the Governing Board of the OPEC Fund.

DATA SUMMARY
Project: Kavaja Hospital
Sector: Health
OPEC Fund loan: US$2.42 million
Lending terms: Interest rate of 2.75% per annum, with an annual service charge of 1% on amounts withdrawn and outstanding; maturity of 20 years, including a grace period of 5 years.
Borrower: Republic of Albania
Executing agency: Ministry of Health

Implementation period: 2 years, 9 months
Appraising agency: Islamic Development Bank (IsDB)
Loan administrator: IsDB

Cofinanciers:

IsDB

Government of Albania

Total cost: US$8.76 million
Project description:

The project will comprise the following:

  • construction of two hospital buildings totaling 5,600 m2;
  • procurement of medical equipment and furniture, as well as two ambulances; and
  • consultancy services.