Overview

Bank of China provides a €350 million EUR revolving credit facility to MVM Zrt in 2022 for general corporate purposes

Commitments (Constant USD, 2023)$348,128,101

Commitment Year•2022Country of Activity•HungaryDirect Recipient Country of Incorporation•HungarySector•EnergyFlow Type•Loan

Status

Project lifecycle

Implementation

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date: May 6, 2022

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% host country ownership

Funding agencies

State-owned Commercial Banks

Bank of China (BOC)

Receiving agencies

State-owned companies

Magyar Villamos Művek Zártkörűen működő Részvénytársaság (MVM Zrt)

Loan description

Bank of China provides a €350 million EUR revolving credit facility to MVM Zrt in 2022 for general corporate purposes

Interest type•Unknown

Narrative

Full Description

Project narrative

On May 6, 2022, the Bank of China (BOC) signed a €350 million EUR revolving credit facility (RCF) agreement with Hungarian Electricity Private Limited Company (Magyar Villamos Művek Zártkörűen működő Részvénytársaság or MVM Zrt.) — a Hungarian state-owned power company responsible for the production, distribution and sale of electricity — for general corporate purposes. The existing contract was terminated at the signing of this new agreement. The proceeds from this facility were to be used for general corporate purposes. Taking the drawdowns and repayments made during the reporting period into account, the outstanding amount of long-term loans (net of upfront loan costs) at the end of the reporting period in 2022 was HUF 139 billion. By June 30, 2023, this had been drawn down to HUF 29 billion.