WASHINGTON, D.C., Sept. 19 -- The International
Finance Corporation (IFC) has approved a loan of up to US$10 million to
the Al Keena Hygienic Paper Mill Co. Ltd., a new company that will build
and operate a tissue paper mill in the town of Giza, near Amman, in Jordan.
The mill will produce 30,000 tons of tissue paper annually from imported
pulp and waste paper and sell it for conversion into facial tissue, diapers,
and handkerchiefs. Seventy percent of the mill's output is expected to
be sold to the project sponsor's tissue converting plants in Jordan and
elsewhere in the region. The total cost of the project is US$29.7 million.
The mill will comply with strict World Bank environmental guidelines and
will mix pulp with quality waste paper to produce a variety of tissue paper
grades. "The project will take advantage of the profitable and rapidly
expanding tissue paper market in the Middle East and also contribute to
increasing the supply of higher quality tissue paper in Jordan," said
Mr. André Hovaguimian, Di
rector of IFC's Central Asia, Middle East, and North Africa Department.
The Al Keena Hygienic Paper Mill Co. Ltd. is privately owned by the Nuqul
Group, a prominent Jordanian industrial group whose principal activity
is the conversion of tissue paper. IFC has worked before with the Nuqul
Group. In 1990, in Egypt, IFC helped to finance the Al Bardi Paper Mill
Co., a similar project to Al Keena. IFC is a member of the World Bank Group
and is the largest multilateral source of equity and loan financing for
private sector projects in developing countries.