Dominica secures US$41m loan from Saudi Fund to improve capital

Dominica has signed a US$41-million loan agreement with the Saudi Fund for Development for a project aimed at enhancing the capital, Roseau, and which the government said will play a major role in the future socio-economic development of the island.

Prime Minister Roosevelt Skerrit, speaking at the signing ceremony held over the weekend, said that the Roseau Enhancement Project is a “major investment in the future of the capital city and by extension the future of Dominica.”

“We have long recognised that for our nation to flourish, we must build modern, resilient and sustainable infrastructure. Several large scale initiatives are currently under way and others are about to commence about the country and the Roseau Enhancement Project is a key component of our vision for long-term sustainable development,” Skerrit said.

“Our efforts in the capital will stimulate local businesses and open doors for new enterprises, creating more jobs and opportunities for everyone. Equally important is the chance to enhance the quality of life for our residents,” he said, adding “this initiative is not only about aesthetics, but about creating a space where people want to work, lie and invest in the future”.

Saudi Fund CEO Sultan Al-Marshad said the project backed by the loan would help improve roads connectivity, reduce traffic, contribute to residential and commercial development, create job opportunities, assist the tourism sector, and “act as a driver for social and economic growth and improve the quality of life for the people of Dominica”.

The loan is priced at 2.5 per cent interest, and is repayable in 28 years, with an eight-year grace period and a 28-year repayment period.

CMC