Cash-strapped Cuba signs loan deals with Saudi Arabia for 80 million dollarshttps://indianexpress.com/article/world/world-news/ash-strapped-cuba-signs-loan-deals-with-saudi-arabia-for-80-million-dollars-2928728/

Cash-strapped Cuba signs loan deals with Saudi Arabia for 80 million dollars

This is the fourth and fifth accord we have signed since we started working together with the Saudi Fund in 2010, said Cuban Foreign Trade Minister Rodrigo Malmierca.

Cash-strapped Cuba signed two deals on Thursday with Saudi Arabia for long-term credits worth around $80 million in total to import goods from the Gulf kingdom and invest in infrastructure.

One accord was for a five-year revolving credit worth $50 million for imports of Saudi products, while the other was for a loan of more than $29 million to finance hydraulics works, the Cuban state news agency ACN reported.

“This is the fourth and fifth accord we have signed since we started working together with the Saudi Fund in 2010,” Foreign Trade Minister Rodrigo Malmierca said in comments broadcast on state television news.

The first contracts for the import of Saudi agricultural machinery have already been signed, ACN wrote.

Cuban President Raul Castro admitted earlier this month that Cuba was struggling to pay foreign suppliers on time due to a shortage of liquidity.

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Lower commodities prices are battering Cuban exports of nickel and refined oil products, while revenue from the sale of professional services to oil-producing countries such as Venezuela and Angola has suffered.

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On top of that, Venezuelan oil assistance dropped this year.