Friday, September 29, 2006

Russia Grants $355M Credit to Cuba, Restructures Recent Debts

Russia Grants $355M Credit to Cuba, Restructures Recent Debts

Created: 29.09.2006 11:56 MSK (GMT +3), Updated: 16:01 MSK, 4 hours 17
minutes ago


On Thursday, Sept. 28, Russia agreed to grant Cuba credit worth $355
million as well as to restructure some of its recent debt. The decision
was made during a visit by Russian Prime Minister Mikhail Fradkov.

Fradkov said that Russia will provide Cuba with a 10-year $355 million
loan with interest at 4 percent per year. The credit will be used to
finance the delivery of Russian goods and services to Cuba in 2006-08.

The Russian official said the intergovernmental agreement signed by
Russia and Cuba identified seven areas in which the credit will be used:
investment cooperation projects, modernization of Cuba's energy sector,
reconstruction of water conservation facilities and railroads, the
design and delivery of air navigation systems, and the modernization of
the transportation system.

Mikhail Fradkov is the highest-ranking Russian official to come to Cuba
since a visit by President Putin in 2000. He was given a red-carpet
treatment by Cuban Defense Minister Raul Castro, who is acting president
while his elder brother Fidel Castro recovers from intestinal surgery.

The press liaison at the Russian Embassy in Havana Alexander Bochanov
said Russia had agreed to res

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