Amman, Jordan, March 14, 2013—
IFC, a member of the World Bank Group, celebrated today the opening of a new terminal at Jordan's Queen Alia International Airport, a development expected to boost tourism, spur trade, and drive economic growth in the kingdom.
The terminal was officially opened during a ceremony under the patronage of Jordan’s King Abdullah II Ibn Al Hussein. IFC Executive Vice President and Chief Executive Officer Jin-Yong Cai was also in attendance. The terminal was the result of a landmark partnership between the public and private sectors. IFC played a leading role by advising the Jordanian government on the transaction and by providing $120 million in financing. IFC also arranged $160 million in syndicated loans from international lenders, and the Islamic Development Bank provided a loan of $100 million.
"The Queen Alia International Airport is a prime example of how, through a well-planned public private partnership structure, international financial institutions and government can work together to deliver a successful project," said Rodolfo Echeverria, Chief Financial Officer, Airport International Group (AIG). A private consortium, AIG built the new terminal and renovated existing buildings. It will also operate the airport for 25 years.
The new terminal covers more than 100,000 square meters and ultimately will be able to accommodate 12 million passengers annually. That is expected to spur cross-border trade and support Jordan's tourism industry, which accounts for about 10 percent of the country's economy.
"Governments around the world, and especially those in this region, are facing fiscal constraints," said Cai. "By working with the private sector, they can spur the development of vital infrastructure projects that will make life better for their people."
The construction and operation of the airport is expected to generate $1 billion in foreign investment and create more than 23,000 jobs. The project was recently named the top public-private partnership in Europe, Central Asia, the Middle East, and North Africa by Infrastructure Journal, a leading industry publication.
The AIG consortium includes Invest AD, Noor Financial Group, Edgo Group, Aeroports de Paris, J&P Overseas, and J&P Avax.
The project is part of IFC's efforts to support the development of Jordan's private sector and drive economic growth across the country. In the 2012 fiscal year, IFC invested $166 million in Jordan, bringing our total portfolio to $700 million, and launched several advisory projects. That support was designed to increase the supply of affordable medicine, help small businesses secure much-needed loans, and boost power supplies, among other things.
About IFC
IFC, a member of the World Bank Group is the largest global development institution focused exclusively on the private sector. We help developing countries achieve sustainable growth by financing investment, mobilizing capital in international financial markets, and providing advisory services to businesses and governments. In FY12, our investments reached an all-time high of more than $20 billion, leveraging the power of the private sector to create jobs, spark innovation, and tackle the world’s most pressing development challenges. For more information, visit
www.ifc.org
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