Kuwait is expected to sign this month a $1-billion contract with a joint venture of Italy’s Salini Impregilo and Turkey’s Limak Construction for its planned South Al Mutlaa City project, according to Naser Khraibut, director of planning at the country’s Public Authority for Housing Welfare.

South Al Mutlaa is the first of five major new cities being brought forward by the Kuwait government.

The contract will cover construction of a road and other infrastructure and be funded by the Kuwaiti government from its own reserves, said Khraibut.

The Gulf state was also due to sign a contract late last month worth between $80 million and $90 million with Hill International to manage the building of South Al Mutlaa City.