The EBRD is supporting important infrastructure private public partnerships (PPP) projects in Jordan, with the purchase of an indirect equity stake in Airport international Group (AIG), the concessionaire operating Queen Alia International Airport in Jordan (QAIA).
The Bank is committing up to €30.5 million to AIG through acquisition of an indirect stake in Meridiam Eastern Europe Investments 2 SAS (Meridiam), which acquired 32 percent of AIG last year.
AIG is a private shareholding company incorporated in Jordan in 2007, and holds a 25-year BOT concession from the Government of Jordan for the rehabilitation, expansion and operation of QAIA. In April 2018, a consortium comprising ADP Group, Meridiam and Asma Capital, acquired 85.25 per cent of the shares from several selling shareholders including Edgo Group which continues to be a shareholder today with a 4.75 per cent stake. ADP, one of the world's largest airport companies, increased its stake to 51 per cent and Meridiam acquired 32 per cent.
With its participation in the project, the EBRD is helping to strengthen the resilience of the Jordanian economy, by supporting the development of PPPs markets and the capital markets of the country generally. It aims to be a catalyst that will attract more investment capital into PPP projects and support the development of a secondary market for PPPs in order to attract institutional investors.
Drawing on its long experience in developing sustainable infrastructure projects in emerging economies, the EBRD will use its involvement to contribute to enhanced engagement with environmental and social issues by AIG.
QAIA was first inaugurated in 1983 to become Jordan’s key gateway to the world. Located 35 kilometers from the heart of the capital, Amman, it provides passenger, air cargo and aviation support services. It gives direct access to major business and travel destinations in Europe, Asia, North America and the Middle East, and heritage sites like Petra, the Dead Sea and the Wadi Rum Desert.
Jordan became an EBRD shareholder in 2012 and to date the Bank has committed more than €1.3 billion across 43 projects in various sectors of the economy, in addition to US$ 120 million of trade facilitation lines to local banks.