Qatar intends to request a $500 million loan from international money markets, which will be used to spread the repayment of existing debt, reported the Gulf Times. Sumitomo Bank will be the lead arranger of the seven-year facility to be finalized by year-end.
According to bank sources, international capital markets will most likely be willing to arrange the loan. Sumitomo Bank, along with Arab Banking Corporation and Gulf International Bank, was involved in 1997 in the arrangement of Qatar's $200 million loan from international markets.
The facility will most likely help repay, or spread the repayment, of Qatar's heavy debt burden — including short-term loans that were used for the development of the country's major petrochemical projects in past several years. — (Albawaba-MEBG)
© 2000 Mena Report (www.menareport.com )