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
"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.
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.