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Panama Canal finalises expansion finance deal

October 30, 2008
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The Japan Bank for International Cooperation (JBIC) has agreed to contribute US$800m, the European Investment Bank (EIB) US$500m and the Inter-American Development Bank (IDB) US$400m. The International Finance Corporation (IFC) and Corporación Andina de Fomento (CAF) will each contribute US$300m. The negotiated financing structure includes favourable provisions for the ACP, including a 20-year amortising period with a 10-year grace period.

In ceremonies held at the Palacio de las Garzas, Panamanian President Martín Torrijos said: “The Canal is again a matter of pride for all of us: it is the object of immense satisfaction for the entire nation that in the midst of global uncertainty, multilateral agencies have reinforced their confidence in Panama. This is the voice of the international community expressing solid support for a Panamanian project that will serve world commerce and international trade.”

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