3. Kuwait
Kuwait as a country was established in the early 17th
century, and has been ruled by Al-Sabah Family
since they were elected by the rest of the Kuwaiti
Families.
Before the exploration of oil in 1934, Kuwait was a
mercantile center & port.
The people of Kuwait depended mainly on the
sea to earn a living.
4. Kuwait - Discovery of Oil
February 1938, Oil was discovered in
Burgan Oil Field.
5. Kuwait - Independence
Kuwait got its independence on June 17,
1961. During the rule of his highness The
late Amir of Kuwait Abdullah Al-Salem AlSabah.
Sheikh Abdullah’s reign was so central to
the evolution of modern Kuwait and its
constitution.
The date on which he had ascended the
throne in 1950 (February 25) was
designated National Day.
6. Establishment of Kuwait Fund
Established in 1961 as a bilateral financial – aid
agency.
1st national institution founded by a developing
country to help developing nations.
- Initial capital = KD 50 million (US$ 165 million)
- Geographical coverage = Arab Countries.
Today 2011
Our current capital KD 2 billion (US$ 6.6 billion)
Geographical coverage = 104 countries worldwide
7. Kuwait Fund - Capital
Initial Capital = 50 million K.D.
100 million K.D.
In 1963 , 200 million K.D.
In 1974, 1000 million K.D. (Geographical
distribution was expanded to cover all non-Arab
countries
requiring development assistance in
addition to Arab countries).
In 1981, 2000 million K.D.
Today , The Kuwait Fund still retains the 2000
million K.D. in terms of official capital, in addition to
two reserved capitals surpassing 2000 million K.D.
(The geographical distribution : 104 countries. )
8. KUWAIT FUND CONTRIBUTIONS TO
DEVELOPMENT INSTITUTIONS UP TO 3001-2011
Institution
$)Paid Up (Million US
Committed (Million
$)US
Arab Fund for Economic & Social Development
578
578
Arab Bank for Economic Development in Africa
49.694
49.694
11.706
117.070
213.100
249.586
6.8
6.8
International Development Association
117.000
117.000
International fund for agricultural
)Development (IFAD
51.800
56.000
77.088
171.53
Arab Gulf Program for United Nations
.Development Organizations
10.000
50.000
Total
1,102
1,361
African Development Bank Group
•African Development Bank
•African Development Fund
Inter – Arab Investment Guarantee Corporation
•IFAD Special Program for Sub-Saharan African
Countries
9. Fund Activities
The Scope of our operations can be
extended to any country that requires
development & financial assistance.
Types of assistance
- Loans
- Grants & Technical Assistance
- Contributions to Multilateral Development
Institutions
10. Geographical Distribution of Fund’s
Loans
Central Asia & European Countries
South East Asia
West African
Countries
Latin America & the
Caribbean Countries
Pacific&
South, Center
East Africa&
11. Geographical Distribution of
)Fund’s Loans (3012011
Regions
No. of
Countries
No. of Loans
Amount in
$)(Million US
%
Arab Countries
16
303
8,419
54,90
East, South Asia &
The Pacific Countries
19
156
2.958
19,22
West African
Countries
19
138
1,504
9,81
Central, South & East
African Countries
21
107
1,124
7,33
Central Asian &
European Countries
16
57
0.957
6,24
Latin American & The
Caribbean Countries
11
38
0.372
2,42
Total
102
792
15,335
100%
12. Geographical Distribution of
)Fund’s Loans (3012011
Arab Countries
Central Asian & European Countries
Central, South & East African Countries
East, South Asia & The Pacific Countries
Latin American & The Caribbean Countries
West African Countries
13. Sectoral Distribution of Fund’s
Loans
Development Bank
Transportation
Telecommunications
Industry
Water &
Sanitation
Power
Agriculture
Social
14. Sectoral Distribution of Fund’s
Loans 30/1/2011
Sector
No. Of Loans
Loan Amount in
$million US
%
Transportation
333
5,310
34,62
Energy
137
4,050
26,41
Agriculture
117
1,867
12,18
Water & Sewage
77
1,425
9,29
Industry
61
1,150
7,50
Social
20
0.575
3,75
Development Banks
18
0.458
2,99
Miscellaneous
15
0.156
1,02
Telecommunication
14
0.344
2,24
Total
792
15,335
100
15. Sectoral Distribution of Fund’s
Loans 30/1/2011
3.75
2.24
2.99
1.02
7.5
34.62
9.29
12.18
26.41
Transportation
Energy
Agriculture
Water & Sewage
Industry
Social
Development Banks Telecommunication
Miscellaneous
16. UN Development Mandate
)(1974
It stipulates that industrial as well
as oil producing countries allocate
0.7% of their GDP to development
assistance.
17. The UN Development Goals
Eradicate Extreme Poverty & Hunger.
Achieve Universal Primary Education.
Promote Gender Equality & Empower Women.
Reduce Child Mortality.
Improve Maternal Health.
Combat HIV, Aids , malaria & other diseases.
Ensure Environmental Sustainability.
Develop a Global Partnership for Development
18. Project Cycle
1. Project / Loan Status: Pipeline
1.1. THE REQUEST
1.1.1. The Borrower's country should be a developing country.
However, countries whose economies are in transition may be
considered as eligible. No geographic, ethnic, religious, caste or
cultural barrier restricts benefiting from the Fund's loans and
assistances.
1.1.2. The request for assistance must be made by the governmental
authority responsible for international cooperation and external
borrowing.
19. Project Cycle
1.1.3. The requesting authority should indicate that the project is a priority project to the
government.
1.1.4 The project should have a strong public sector element and be of a developmental
nature. The Fund's assistance is not limited to a particular sector. The project may be in
any of the following sectors: infrastructure, agriculture, irrigation, transport,
communications, energy, water supply, sewage treatment, education and health.
1.1.5 The project, if not in the education and health sectors, should be supported by a
detailed techno-economic feasibility study. The feasibility of the project must be
demonstrated by cost-benefit analysis and the calculation of an internal economic rate of
return, with an indication of sensitivity to changes in parameters. For projects in the health
and education sectors, it is sufficient to demonstrate the feasibility of the project through
technical and social data, in addition to evidence establishing the need for the project. The
studies of the project should include the proposed components, the cost estimates in local
and foreign currencies, and the proposed financing plan. abidance to the "Kuwait Fund
Requirements for the Preparation of a Feasibility Study" is advisable. It is preferable that
the services of an independent specialized consultant be obtained for the preparation of
feasibility studies.
20. Project Cycle
1.2. THE PRELIMINARY APPROVAL:
1.2.1. A team is formed by the Operations Department of Fund to prepare a memorandum
regarding the project, summarizing the available information thereof.
1.2.2. If the recommendation of the team is positive, and if the studies are adequate, the
Fund's management submits, on approval of the Board's Internal Loans Committee, a
recommendation to the Board of Directors to, preliminarily, approve the participation in the
financing the project.
1.2.3. Upon the Board's preliminary approval, the management of the Fund may proceed to
consider the project for further evaluation.
21. Project Cycle
1.3. THE APPRAISAL:
1.3.1. A mission, composed usually of an engineering adviser, an economic adviser and a
legal adviser, visits the country to appraise the project. The mission would visit the project
site, collect all necessary project and sector information and, if satisfied, negotiate and
initial a draft loan agreement before the end of the visit. The draft loan agreement would
state the amount of the proposed loan, the lending terms and other conditions based on
the findings of the mission.
1.3.2. Under normal circumstances, and in accordance with the regulations of the Fund,
the amount of the loan would not exceed 50% of the total cost of the project and would not
include financing of local costs of goods produced in the territories of the borrower.
1.3.3. Upon its return, the mission would prepares a project appraisal report which
includes information about the economy of the country, the sector, the implementing
agency, the project, the economic and financial viability of the project (if required), and the
lending terms and conditions. Such report would be discussed in a meeting attended by all
the technical staff of the Fund.
22. Project Cycle
1.4. THE FINAL APPROVAL:
1.4.1. Following discussion and approval of the project appraisal report by the Fund's
management it is submitted to the Board of Directors with appropriate recommendations
concerning participation in financing the project.
1.4.2. If satisfied, the Board of Directors grants the required approval. Following that, a
date is fixed for the official signature of the of the loan agreement which usually takes
place in the borrower's country.
23. Project Cycle
2. Project / Loan Status: Active:
2.1. THE EXECUTION:
2.1.1. The concerned government authority would invite offers from consultants for the
provision of the required consulting services. Following the preparation of construction
bidding documents and approval thereof by the Fund, bids may be invited from contractors
for the construction of the project or from suppliers for the procurement of the required
goods. Under normal circumstances, and in accordance with stipulations of the Loan
Agreement, all biddings should be competitive, either through open international bidding or
through restricted bidding.
2.1.2. The concerned government authority is expected to obtain the prior approval of the
Fund on each implementation step, including, the evaluation of offers, texts of contracts,
etc.
24. Project Cycle
2.1.3. Based on the signed and approved contracts, withdrawal applications for
disbursements from the proceeds of the loan would be issued by the authorized
representative of the borrower. The Fund would disburse, in accordance with the Fund's
"Disbursement Procedures", through either direct payments to the beneficiary for
construction of works and for services, which is the most common case, or through Letters
of credit for procurements, or through reimbursement to the borrower against evidence of
payment already made to the beneficiary.
2.1.4. The Fund expects to receive periodic reports from the borrower regarding the
progress of the implementation of the project.
2.1.5. During the progress of the project, and especially whenever a problem arises, the
Fund would mount a follow-up mission to visit the project site and discuss pending
matters. Also, the fund may invite representatives of the borrower and of the co-financiers
if any, to meet in Kuwait to discuss outstanding matters.
25. Project Cycle
3. Project / Loan Status: Completed
3.1. THE COMPLETION:
3.1.1. Upon completion of the project, the Fund expects to receive a final report from the
Borrower.
3.1.2. After completion of the project, and if there is an unutilized uncommitted balance in
the Loan, the Fund usually cancels the said balance and adjusts the repayment schedule
accordingly. Under special circumstances, and subject to the approval of the management
of the Fund, the borrower may utilize the said balance to finance additional works and
goods directly related to the project, and clearly provided for in the Loan Agreement.
3.1.3. Under normal circumstances, the borrower starts repayment of the Loan after the
expiry of a grace period. The said grace period, as indicated in the Loan Agreement, starts
from the dare of the first disbursement and lasts one year beyond the construction period
of the project, thus allowing the borrower to repay the loan through deriving benefits from
the project.
26. Geographical distribution of Loans – Central
Asian & European Countries
Country Name
No. Of Loans
$)Loan Amt. (in million US
Moldova
1
6.460
Malta
3
24,126
Lithuania
1
15,640
Kazakhstan
1
13,916
Kyrgyzstan
2
19,332
Cyprus
9
83,562
Tadjikistan
4
59,840
Georgia
2
33,932
Turkmenistan
1
0.623
Belarus
1
17.340
27. Geographical distribution of Loans – Central
Asian & European Countries
Bulgaria
1
41,82
Uzbekistan
5
88,084
Albania
6
73,338
Azerbaijan
2
33,310
Turkey
12
360,968
Bosnia and Herzcgovina
4
84,320
Total
55
956,617
28. Albania –Grants & Technical
Assistance
Country
Name
Albania
F.S. for the Elbasan-Berat-Tepelene Axis Road
F.S. and preliminary Design for the Durres – Plepa
Junction Road
29. Albania - Loans
Country
Project Name
$Amount in Million US
Albania
Transport
9,163
Irrigation Rehabilitation
9,942
Elbasan – Shafetan National
Road
8,333
Irrigation & Drainage
Rehabilitation Phase II
11,900
Irrigation & Drainage
Rehabilitation Phase III
13,600
The Durres Bypass and the
Vora Interchange Project on
the Durres – Vora Road
20,400
30. Azerbaijan –Grants & Technical
Assistance
Country
Name
Azerbaijan
Institutional Support
F.S. of Kurdamir Udjiar Road
31. Azerbaijan - Loans
Country
Project Name
$Amount in Million US
Azerbaijan
The Improvement of
Alyat Gazi Mohamed
Road
18,011
Baku Bypass Highway
Project
15,300
32. Belarus – Grants & Technical
Assistance
Country
Name
Belarus
F.S. for Extension and Rehabilitation of Poly. Micro.
Yarn Production Plan
F. S. for Rehabilitation of Thermal Power Station of
Minsk tes-3
34. Bosnia – Grants & Technical
Assistance
Country
Name
Bosnia
T.A. Study for Water Supply & Sanitation in City of
Sarajevo
F. S. for the Sarajevo - Gorazde Road
35. Bosnia & Herzegovina - Loans
Country
Project Name
$Amount in Million US
Bosnia and
Herzegovina
Bor Bank Financing Facility
20,740
Upgrading 4 roads and
Reconstruction of Musala
Bridge in Mustar
10,200
Water Supply & Sanitation
Urgent Works in The
Federation of Bosnia &
Herzegovina
17,680
Kakanj – Donja Gracanica
Highway Project
35,700
36. Kazakhstan – Grants &
Technical Assistance
Country
Name
Kazakhstan
T.A & F.S for the Basic Infrastructure Utilities for
the Expansion Area of Astan
38. Malta – Grants & Technical
Assistance
Country
Name
Malta
F.S. : Increasing Agricultural Production
39. Malta -Loans
Country
Project Name
Amount in Million
$US
Malta
Fisheries Development
299
Malta “B” Power Station
Extension
11,220
Delimara Power Station
((Project Phase I
12,608
40. Moldova – Grants & Technical
Assistance
Country
Name
Moldova
F.S. for the Diabetic Medical Center
42. Slovakia - Grant and Technical Assistance
Country
Name
Slovakia
Studies related to Reassessment & Utilization of
Ground Water Resources
43. Tadjikistan – Grants & Technical
Assistance
Country
Name
Tadjikistan
F.S. for Kulyb – Kalauhum Road Project
44. Tadjikistan - Loans
Country
Project Name
$Amount in Million US
Tadjikistan
Shkev – Zigar Road
17,000
Rehabilitation of
Dushanbe Electricity
Distribution Network
12,240
Dangara Valley
Irrigation Project –
Phase II
13,600
Shurabad – Shagon
Road Project (Kulyab
– Kalaikhumb
(Corridor
17,000
45. Turkmenistan - Grant and Technical
Assistance
Country
Name
Turkmenistan
T.A. for Special Program for Baby Food
Production
Ashgabat – Turkmenbashi Road
47. Ukraine – Grants & technical
Assistance
Country
Name
Ukraine
Chernobyl Shelter Fund
Chernobyl Shelter Fund 2nd contribution
48. Uzbekistan - Grant and Technical Assistance
Country
Name
Uzbekistan
Rehabilitation of Irrigation Network and
Drainage System Project in Djizakh and
Syrdarya
Institutional Support to the Uzbek Fund for
Reconstruction and Development
49. Uzbekistan - Loans
Country
Project Name
$Amount in Million US
Uzbekistan
Improvement of Water Supply
of Nukus and Urgench
19,948
Tashkent – Angren Railway
Line Electrification
21,080
Rehabilitation & Equipping of
171 Medical Emergency
Department
20,400
Rehabilitation & Equipping of
A Cardio Surgery Building
Project
11,900
The Rehabilitation &
Construction of Irrigation Net.
And Drainage System in
Djizakh and Syrdarya
14,756
50. Cyprus - Loans
Country
Project Name
Amount in Million
$US
Cyprus
New Nicosia- Limassol Highway
3,842
Vasilikos - Pendaskinos for Irrigation
& Potable Water Supply
8,295
Limassol Bypass-Ypsonas Erimi Link
and Rural Roads Improvement
8,160
Southern Conveyor Project for Water
(Resources (development stage I
9,996
Larnaca – Nicosia Highway and
Improvement of Larnaca – Kophinou
Road
13,600
Southern Conveyor Project
14,620
Larnaca – Nicosia Highway and
Larnaca Kophinou Highway
8,500
Palkori – Agros Road
3,310
Erimi – Evdhimou Highway First
Phase of the new Limassol – Phaphos
Highway
13,238
51. Turkey - Loans
Country
Project Name
$Amount in Million US
Turkey
Bosphorus Transmission Line
Crossing
8,801
Istanbul Main Water Transmission
Pipeline
9,269
Izmir Water Supply
19,635
Rehabilitation of Two Sections of
Trans Turkey Highway
13,664
Rehabilitation of Urfa – Akinci Sector
of the Trans Turkey Highway
17,000
Turkey Railway
19,633
Rehabilitation & Extension of the
Water Network of Greater Ankara
19,471
Greater Istanbul Water Supply
Yesilcay System
79,961
Greater Istanbul Water Supply
Yesilcay System
64,055
Reconstruction & Development of
Earthquake Affected Regions
54,400
52. Turkey - Loans
Country
Project Name
$Amount in Million US
Turkey
The Reconstruction &
Development of
Earthquake Affected
Region (Sewerage
(Project
26,180
Supplementary Loan
for Financing the
Reconstruction &
Development of
Roads
28,900
53. Lithuania - Loans
Country
Project Name
$Amount in Million US
Lithuania
Expansion of Gas
Transmission and
Distribution Networks
15,640
54. Kyrgyzstan - Loans
Country
Project Name
$Amount in Million US
Kyrgyzstan
Osh Telecommunications
Development
8,793
Transmission Line for
Electrification of Osh District
((Phase One
10,540
58. Chernobyl : The Nuclear
Disaster
On April 26, 1986 the worst nuclear accident in the history of atomic industry took place
at Chernobyl Nuclear Power Plant in the ex Soviet Union. The fourth reactor of the
power plant exploded and caught fire. As a result of the explosion, the core of the
reactor, the protection barriers, and the safety systems were completely destroyed. The
reactor emitted millions of curies of radioactive particles into the atmosphere
contaminating the land for miles around.
In November 1986, the USSR Council of Ministers approved the construction of a
confinement design called “shelter”; which was built in a great hustle and under
tremendously tough conditions resulting in a number of serious problems.
In 1997, the leaders of the seven industrial states decided to assist Ukraine in facing
the disaster that erupted at Chernobyl. And, the Chernobyl Fund was established.
Towards the end of 1998, the participation of various countries in the said fund
amounted to US$ 4 million.
The Kuwait fund was entrusted to pay the said participation from its own resources,
and to administer the Kuwaiti grant.
In August 2007, and as an outcome of the international tender, a contract was signed
with an international consortium to construct the “New Safe Confinement” for an
updated cost of Euro 728 millions.
The Chernobyl Fund asked for additional financing. The pledge of the state of Kuwait
was increased by US$ 2millions , and paid from the resources of the Kuwait Fund.
The Kuwait Fund believing in noble aims of international cooperation to save human
communities, administers the Kuwaiti Grant and maintains continuous efficient follow
up of all the Chernobyl Fund projects, operations, and budget.
59. Renovation of Water Supply, Storm Drainage and
Sewerage Projects in the city of Pyongyang, the
Capital of Democratic People’s Republic of Korea
These two projects are an example of the integrated water management that
the Fund seeks to finance.
The first part aims at reduction of severe shortage of Potable water for about
3 million people in the city, while the second part aims at the protection of
the environment and public health of inhabitants against pollution of waste
water.
The Project has been implemented over two stages, the first one
accomplished the rehabilitation and improvement of the city water supply
system through procurement of equipment and machinery needed for the
rehabilitation of the six existing water purification plants.
The next stage of the project included the rehabilitation and improvement of
waste water system in the city.
The total estimated cost of these two projects was about 110 million US$.
60. Rehabilitation of Water Supply Systems in two
towns, Santiago De Cuba and Holguin in the
Republic of Cuba
These two projects aims at the reduction of
the present
shortage of potable water through the rehabilitation of the two
water supply systems in the two cities of a total population
around 800 thousand inhabitants.
The two projects include the rehabilitation of the water
purification plants, the pumping stations, storage tanks as
well as the laying of water distribution pipelines and the
installation of house water meters.
The cost of these two projects was estimated at about 58US$.