UK Export Finance (UKEF) has announced a €22 million direct loan to support the construction of a rural water supply project in Angola’s Quiminha region, to be executed by British firms.
The project, led by Elecnor Servicios y Proyectos S.A.U. on behalf of Angola’s Ministry of Public Works, involves the rehabilitation of the Quiminha Dam and the development of new infrastructure for water storage and distribution. This initiative aims to provide access to clean water for approximately 100,000 people in rural communities, including Vila Catete, Vila Quiminha, Vila Lalama, Calumbunze, and Camizunzo.
By ensuring a reliable supply of potable water, the project is expected to significantly improve living conditions and stimulate economic development in the Quiminha region, a key agricultural area. The infrastructure will not only meet the needs of local communities but also support industrial and agricultural activities.
The UKEF loan also creates new opportunities for UK exporters, who are expected to secure around €8 million in subcontracts related to the project.
Lord Collins of Highbury, UK Minister for Africa, praised the initiative, stating: “This ground-breaking deal will provide vital water management that will transform lives. Our partnership with Angola is strong, and this funding will deliver significant benefits, including new water supplies and protection against climate-related challenges like drought. By working together to address climate change, we are building a resilient and sustainable future.”
Standard Chartered, appointed by Angola’s Ministry of Finance as the sole Coordinator and Structuring Bank, Social Loan Coordinator, and Mandated Lead Arranger, played a pivotal role in facilitating the financing.
Mustafa Sajjad Hussain, Executive Director of Structured Export Finance at Standard Chartered, emphasized the alignment of the project with the bank’s commitment to driving capital into areas needing sustainable infrastructure, highlighting the positive impact on communities across their markets.
Natalia González-Úbeda, Head of Export Finance at Elecnor Servicios y Proyectos S.A.U., expressed pride in the company’s ongoing contributions to Angola’s development over the past 30 years. She acknowledged the critical support from UKEF and Standard Chartered in their third transaction in Angola, underscoring the project’s role in providing clean water and promoting economic growth, ultimately enhancing the quality of life in the region.
