UKEF provides $81mln to Jordan’s Classic Fashion to build new factories

UKEF provides $81mln to Jordan’s Classic Fashion to build new factories

UK Export Finance (UKEF), the UK Government’s export credit agency, announced on Wednesday its first deal in Jordan to support garment company Classic Fashion Apparel Industry in the construction of new factories and a corporate office in Aqaba.

Classic Fashion is the largest apparel manufacturer in the MENA region and contributes to over 42 percent of all garment exports from Jordan.

UKEF said in a statement that the £66 million ($81 million) deal will facilitate the building of four factories including three satellite manufacturing units as well as the Aqaba main facility.

The Agency said it has provided support through a combination of direct lending and a buyer credit guarantee.

The statement said British construction company ASGC UK will project manage and oversee all related elements to ensure quality and timely delivery while more than 30 percent of the services and supplies for the project, such as machinery and other building materials, will come from directly from UK providers.

The project, located in Aqaba Special Economic Zone, will contribute to boosting manufacturing exports and create jobs, in line with the targets for the sector contained in the recently launched Economic Modernisation Vision 2033, the press statement said.

Classic Fashion Apparel Industry Group, with a capacity of