Dubai – Mubasher: The Government of Dubai is expected raise the funding needed for expanding the metro network, starting off with an initial loan of $500 million, Reuters said citing sources.
The Department of Finance will hold talks with banks during the coming two weeks to get a five-year loan with an interest margin of 200 basis points above London Interbank Offered Rates (LIBOR), the source added, according to Reuters.
The loan will be designated to the project of expanding Dubai’s metro by 15 kilometres to reach the location of the World Expo 2020 in Dubai.
The extension is the second major infrastructure project that Dubai aims to finance in 2017, after it recently obtained a $3 billion loan to expand Dubai International Airport and Al Maktoum International Airport, according to Reuters.
