GCCIA Signs Contracts for Iraq Interconnection Project

The Gulf Cooperation Council Interconnection Authority (GCCIA) signs contract in Dammam to provide Iraq with electricity (Asharq Al-Awsat)
The Gulf Cooperation Council Interconnection Authority (GCCIA) signs contract in Dammam to provide Iraq with electricity (Asharq Al-Awsat)
TT
20

GCCIA Signs Contracts for Iraq Interconnection Project

The Gulf Cooperation Council Interconnection Authority (GCCIA) signs contract in Dammam to provide Iraq with electricity (Asharq Al-Awsat)
The Gulf Cooperation Council Interconnection Authority (GCCIA) signs contract in Dammam to provide Iraq with electricity (Asharq Al-Awsat)

The Gulf Cooperation Council Interconnection Authority (GCCIA) signed five contracts worth $220 million with the companies implementing the electricity interconnection project between the Gulf states and Iraq.

The Authority will construct lines of 295 km from the al-Wafra station in Kuwait to the al-Faw station in southern Iraq to transfer 500 megawatts in the first phase, with a total of 1,800 megawatts, according to the Authority.

The project includes supplying and installing circuit breakers, electrical reactors, and measurement and control systems for the construction and expansion of substations in al-Wafra and al-Faw.

It also includes consulting services for preparing environmental and social studies and supervision of implementation.

The project would contribute to the supply of electricity to the Southern Region Electricity Network and support the demand for electricity in Basra.

It also lays the foundations for the future exchange and trade of electric energy between the Gulf state and Iraq under the umbrella of a regional and Arab electricity market to ensure the sustainability of electric power.

The contracts were signed by the CEO of the Authority, Ahmed al-Ibrahim, with representatives of companies approved to implement the project at the GCCIA in Dammam.

Ibrahim confirmed that the project would boost the electricity cooperation with Iraq and that the Authority would adopt expansion projects for the interconnection network aimed at increasing energy reliability in the Gulf network.

The project represents outstanding opportunities for energy exchange with Iraq, especially in light of the increase in the capacity of the electrical connection to achieve economical operation, especially in the summer, said Ibrahim.

He also explained that it would increase the network's security and stability, reduce interruptions, and contribute to meeting part of the demand.

Iraq signed an agreement to connect its power grid to the GCC interconnection grid in July 2022, on the sidelines of the Jeddah Security and Development Summit, under the directives of Gulf leaders to consolidate cooperation and partnership between the countries of the Cooperation Council and the Republic of Iraq.

The project will be funded by the Kuwait Fund for Arab Economic Development (KFAED) and the Qatar Fund for Development (QFFD), which also signed a financing agreement with GCCIA.



Egypt’s Net Foreign Assets Jump in March after IMF Review Approval

 Visitors look out towards the Giza pyramid complex as they tour the Grand Egyptian Museum in Giza on the southwestern outskirts of the capital Cairo on May 5, 2025. (AFP)
Visitors look out towards the Giza pyramid complex as they tour the Grand Egyptian Museum in Giza on the southwestern outskirts of the capital Cairo on May 5, 2025. (AFP)
TT
20

Egypt’s Net Foreign Assets Jump in March after IMF Review Approval

 Visitors look out towards the Giza pyramid complex as they tour the Grand Egyptian Museum in Giza on the southwestern outskirts of the capital Cairo on May 5, 2025. (AFP)
Visitors look out towards the Giza pyramid complex as they tour the Grand Egyptian Museum in Giza on the southwestern outskirts of the capital Cairo on May 5, 2025. (AFP)

Egypt's net foreign assets jumped by $4.9 billion in March, central bank data showed, apparently boosted by the approval of the fourth review of the country's IMF program.

Net foreign assets climbed to the equivalent of $15.08 billion from $10.18 billion at the end of February, according to Reuters calculations based on official central bank currency exchange rates.

The International Monetary Fund in early March approved the disbursement to Egypt of $1.2 billion after completing its review of the country's $8 billion economic reform program. It also approved a request for a $1.3 billion arrangement under the IMF's resilience and sustainability facility.

Foreign investors were significant purchasers of Egyptian pound treasury bills after the approval and as one-year bills acquired after the March 2024 IMF agreement matured, two bankers said.

Egypt had been using foreign assets, which include assets held by both the central bank and commercial banks, to help prop up its currency since as long ago as September 2021. Net foreign assets turned negative in February 2022 and only returned to positive territory in May last year.

Foreign assets increased in February at both the central bank and commercial banks, while foreign liabilities rose at the central bank but declined at commercial banks.