Qatar Islamic Bank said on Sunday it had closed this month a $250 million Islamic financing arrangement for part of Qatar's Ras Laffan power and water project.

The project, which is expected to cost over $3 billion and be completed by 2011, aims to enhance power production to help meet the country's growing demand, it said in a statement on the Qatar bourse website.

The project will generate around 2,730 mega watts of electricity, covering around 30 per cent of the country's needs. - Reuters