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IFC Retained as Lead Financial Advisor to Help Mobilize Private Sector Investment for Ring Road Project in Jordan


In Amman:
Nesreen Abu-Suleiman

Phone: 00962 6 5678050 ext 249

Email:
nabusuleiman@ifc.org


Amman, Jordan, September 29, 2008—IFC, a member of the World Bank Group, today signed an agreement with the government of Jordan to provide advisory services in support of the Amman Ring Road project.  

IFC will help mobilize private sector investment for the 118-kilometer expressway, the first road project to be delivered by the private sector under Jordan’s public-private partnership program. The expressway is being built in three phases. The first phase is underway and implemented by the Ministry of Public Works and Housing. It involves the construction of a 41-kilometer road to be completed in 2010. The second and third phases will involve a 77-kilometer road. The road will eventually be operated and maintained by the private sector.  


Sahel Majali, Minister of Public Works and Housing, said, “The Amman Ring Road is a dual highway that will form a circle around the city and bypass urban development areas. The objective is to relieve the city of traffic congestion, eliminating traffic from regional trucks on the streets of Amman and Zarqa, improving access, reducing travel costs, and minimizing road accidents through a high-quality road that conforms to international standards.”  

“The Amman Ring Road will boost the public-private partnership program launched by the government in June 2008 with the objective of enhancing the participation of the private sector in building public infrastructure projects and  providing quality services to citizens at fair prices,” said Abdel-Rahman El-Khatib, Chairman of the Executive Privatization Commission and the government’s representative at the signing. “The Executive Privatization Commission is committed to implementing an efficient and successful public-private partnership program using international best practices, by engaging experienced and reputable advisory companies like IFC.”

Ahmed Ali Attiga, IFC Resident Representative and Head of Mission in Jordan, said, “Jordan’s commitment to continue developing its public-private partnership program is an important step toward improving the country’s infrastructure. IFC has global experience in providing advisory services in sustainable public-private partnership projects, and we are pleased to support the Jordanian government again in implementing this pioneering transaction.”  

The project, which will be implemented on a build-operate-transfer basis, will be supported by IFC Advisory Services in the Middle East and North Africa – PEP-MENA – which helps develop viable public-private partnerships in infrastructure, improve the business and regulatory environments, strengthen the financial sector, and promote growth of small and medium enterprises.

About IFC

IFC, a member of the World Bank Group, fosters sustainable economic growth in developing countries by financing private sector investment, mobilizing private capital in local and international financial markets, and providing advisory and risk mitigation services to businesses and governments. IFC’s vision is that people should have the opportunity to escape poverty and improve their lives. In FY07, IFC committed $8.2 billion and mobilized an additional $3.9 billion through syndications and structured finance for 299 investments in 69 developing countries. IFC also provided advisory services in 97 countries. For more information, visit
www.ifc.org