Riyadh - Arabstoday
Saudi developer Emaar Economic City, which secured a $1.33bn loan from the government in May to speed up construction, has terminated a contract to build 134 villas in the King Abdullah Economic City development.Emaar Economic City, affiliated to Dubai developer Emaar Properties, ended the contract with Al-Radwan Contracting, Emaar said in a statement on the Dubai bourse on Monday.\"The termination of the construction contract is in normal course of business where re-evaluation of project feasibilities in view of constantly changing business environment do require amendment/termination of construction contracts,\" the company said.Emaar does not expect an adverse impact from the project cancellation, it said in the statement.Emaar Economic City is spearheading the development of King Abdullah Economic City, a project aimed at diversifying the kingdom\'s oil-based economy.The developer received a SR5bn loan ($1.33bn) from the kingdom\'s finance ministry to speed up construction of a project.King Abdullah Economic City is among five so-called economic cities planned in the world\'s largest oil exporter to speed up job creation for the country\'s rapidly growing population. From / Arabian Business