Jordan state power utility Nepco this week signed two Sharia-compliant loan agreements totaling JD334mn ($471mn).  Nepco CEO Amjad al-Rawashdeh says the loans embody the ‘strategic partnership’ between the Jordan Islamic Bank and debt-ridden Nepco.  

But in reality, the deal lays bare Nepco’s troubled finances and the heavy burden the firm places on Jordan’s coffers. Finance Minister Ezzedin Kanakriyah put Nepco’s total contribution to Jordan’s...