Credit agreement to be signed by late July in order to place telecommunication satellite in orbit

Azerbaijan continues works on building telecommunication satellite and placing it into orbit. Last year on 4 March 2011 the Cabinet of Ministers issued an order to allocate 10 hectares of ground area to “Azerkosmos” JSC for permanent use in order to built the Satellite Control Center on it. At the same time US had consultations with law and finance specialists as well as with representatives of local authorities to get from Export-Import Bank a loan backed with state guarantee. A credit agreement is supposed to be signed by the end of July. Negotiations are now being held with the French “Societe Generale” and SMBC banks in order to finance the contract signed with “Arianespace” company by getting a loan from “COFACE” Export Credit Agency. President Ilham Aliyev speaking at the regular meeting dedicated to the results of socio-economic development said that development of the space industry is very important for prestige of the state and the benefits the state would receive from commercial exploitation of II peyk satellite would create good opportunities for Azerbaijan.

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