Saudi Electricity Company (SEC) has been awarded a 51.1 billion riyal government ($13.63 billion) loan to finance future projects, the state news agency said on Monday.   

Saudi Arabia's cabinet approved the 25-year, interest-free loan "to cover the fiscal deficit expected for the implementation of electrical projects urgently needed during 2011 and 2012," SPA said in a statement.

Saudi Arabia plans to invest $88 billion over the next 10 years to boost power capacity as demand for electricity continues to grow 7-8 percent annually, the kingdom's water and electricity minister said last month.

Saudi Arabia, which sits on the world's biggest oil reserves, is struggling to keep pace with rising power demand amid rapid population growth. - Reuters