Middle East Economic Survey

VOL. LIII

No 51

20-Dec-2010

UAE/GENERAL

Shuweihat S3 Power Deal Suggests Dip In Financing Costs

The latest developments on the 1.6gw Shuweihat S3 independent power project (IPP) suggest that financing costs are coming down, MEES soundings indicate. Margins (the profits that banks make) on the financing are the lowest seen on power deals in the Gulf so far this year, and therefore also significantly undercut the 2009 deals which were signed in the aftermath of the...