TUNIS, Feb 5, 2010 (TAP)- An agreement on guarantee and another loan agreement granted by the Islamic Development Bank (IDB) to Tunisia’s power and gas utility (STEG) to finance a natural gas project in Gafsa were signed on Friday in Tunis.

The agreements were signed by Minister of Development and International Cooperation Mohamed Nouri Jouini, the Chairman and Managing Director of STEG, Othman Ben Arfa, and IDB Vice Pesident Birama Boubaker Sidebé.

The loan, worth 33,40 million Euros, is to finance the project of natural gas supply to the city of Gafsa and its mineral field whose global cost is estimated at 67 million Tunisian dinars. The loan, with Tunisia’s government guarantee, is repayable over 20 years including 3 years of deferment of debt and an interest rate set at 5,1%.

Was also signed an agreement on a technical assistance donation to reinforce the institutional capacities of the national bank of genes. Under this agreement, the IDB grants a donation worth 400, 000 US dollars to finance notably the training of human resources, the purchase of books, scientific encyclopaedia and laboratory equipment.