UAE’s export credit agency, Etihad Credit Insurance (ECI) has entered into a partnership with Israel Export Insurance (ASHRA) in order to fund Ghana’s $147 million (AED540 million) worth healthcare project.
The agreement, signed by Mr. Massimo Falcioni, CEO of ECI, and Mr. Nissim Ben Eli, CEO of ASHRA, is related to the first Public-Private Partnership (PPP) project between the UAE and Israel after the signing of the historic Abraham Accords in September 2020.
The ECI will provide buyer’s credit guarantees to the funding bank which will see the construction of four hospitals and the first main central medical storage facility in Ghana.
“It brings together both countries’ export credit agencies, Ghana’s Ministry of Finance, a healthcare construction company, and a commercial bank. It also sets the stage for broader economic and trade partnerships following another historic milestone – the signing of the UAE-Israel Comprehensive Economic Partnership Agreement (CEPA),” as per the statement.
The Ministry of Health of Ghana awarded the contract to EDC International, a leading Israel engineering and construction company with a presence in the UAE. EDC International will execute the project’s second phase with a total value of $110 million (AED406 million), which is expected to provide ease of access to advanced medical facilities for several thousands of Ghanaian citizens.
Under the agreement, the ECI co-guarantee with ASHRA the financing facility offered by the IDB to the Ministry of Finance of Ghana, which will pay the EDC International to construct the hospitals. The ECI will provide $50 million (AED185 million) in reinsurance coverage, accounting for 49 percent of the total coverage offered for the second phase of the project.
“By partnering with ASHRA on this project, Etihad Credit Insurance has also generated $50 million (AED185 million) worth of economic activity through exports and re-exports of products and services from the UAE,” as per the statement.
This project comprises the construction of a new general regional hospital in Tema, the largest port city in Ghana, which will function as a secondary referral center with teaching facilities. It also includes a new primary-level facility at Nkoranza with specialized services, an accident and emergency center to augment services within an existing hospital at Dormaa, and a redeveloped medical store and mechanical workshop in Accra.
