China issues package of interest-free loans worth $154.9 million for Mozambique`s agriculture, health and education sectors
Commitment amount
$ 241866297.2
Constant 2017 USD
Not recommended for aggregates
This project is not recommended for use in creating aggregated sums. See the documentation for more information about this criteria.
Umbrella project
This project is classified as an "umbrella" project, and is connected to related projects.
Summary
Funding agency [Type]
China Ministry of Commerce [Government Agency]
Recipient
Mozambique
Sector
Other multisector (Code: 430)
Flow type
Loan
Concessional
Yes
Category
Project lifecycle
Description
In Febrauary 2007 Chinese President Hu Jintao, as part of an 8 nation tour of Africa, held talks with Mozambican President Armando Guebuza and announced a 1.2 billion yuan (154.9 million) package of interest-free loans for the country's agriculture, helath, and education sectors. The exact nature of this package and the exact projects it was/is being used for remains unkown.
Additional details
Since loan terms for the interest-free loan are unavailable, AidData has set maturity period to 20 years by default and grace period to 10 years by default per China's Foreign Assistance White Paper (http://www.cidca.gov.cn/2018-08/06/c_129925064_3.htm) which states that the maturity period of interest-free loans is 20 years, with a drawdown period of 5 years, grace period of 5 years, and repayment over 10 years. AidData treats the drawdown period as providing 5 years of additional grace.
Number of official sources
0
Number of unofficial sources
4
Details
Cofinanced
No
Receiving agencies [Type]
Government of Mozambique [Government Agency]
Loan type
Interest-Free
Maturity
20 years
Interest rate
0.0%
Grace period
10 years
Grant element
75.05159755%
Gurarantee provided
No
Insurance provided
No