The Dubai Electricity & Water Authority (Dewa) said it had raised $1 billion in a loan backed by European export credit agencies (ECAs) to fund continued expansion.

Dewa said the loan, which matures in 13 years, was arranged by banks including HSBC, Calyon and Deutsche Bank. ECAs Coface, Hermes and SACE are guaranteeing the financing, it said in a statement yesterday (May 27).

The utility will launch a tender for construction of a 1,500 megawatt power plant in September and plans to award the contract in early 2010, its chief executive Mohammed al-Tayer said last month.

Dewa last month raised $2.2 billion in a three-year syndicated loan. – Reuters