The Egyptian government and the Kuwait Fund for Arab Economic Development (KFAED) have finalized an agreement for a $99m (KWD 30m) loan for Egypt. The loan will be directed towards funding a project that will expand Egypt’s electricity grid, linking it to Saudi Arabia, reported Daily News Egypt.

The agreement was signed in Cairo in November 2015; however, all details have been finalized this week, and KFAED will transfer the loan in the coming few days.

The electricity linkage project targets to exchange around 3,000 MW of electricity during peak hours to meet the country’s electricity demand.

The project is based on linking the two grids from Badr substation in Egypt to East Medina substation in Saudi Arabia, passing through the Tabuk substation in Saudi Arabia. The project covers 1,300 km with a capacity of 3,000 MW to link the two largest electricity systems in the Arab world, which have a total capacity of 90,000 MW.