Japanese loan to finance road project in Morocco

The Japanese bank for international cooperation has granted Morocco a loan worth 12.76 billion Yens (about 1.26 billion Dirhams or 114.54 million Dollars) destined to finance a 120 km long section of the Mediterranean bypass between the northern city of Tetuan and Jebha.

A statement released by Morocco's embassy in Japan said the loan related agreement was signed last Friday in Tokyo by Moroccan ambassador to Japan and the bank's chief.

The loan will be paid back over a 30 year period with a 10 year grace period and an interest rate of 2.2%.

The loans extended so far to Morocco by the Japanese government total 14 billion DH (about $ 1.27 billion).

The 520 km long Mediterranean bypass, whose cost is assessed at 3.52 billion DH (about $ 320 million), will connect the northern cities of Tangier and Tetuan in the west to Berkane and Oujda in the east.