Overview

Chinese Government provides RMB 50 million interest-free loan for small industrial projects and small-scale farms

Commitments (Constant USD, 2023)$12,230,975

Commitment Year•2005Country of Activity•NamibiaDirect Recipient Country of Incorporation•NamibiaSector•Other MultisectorFlow Type•Loan

Status

Project lifecycle

Pipeline: Commitment

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date: Dec 18, 2005

Start (planned): Dec 18, 2005

First repayment (originally scheduled): Dec 30, 2014

Last repayment (originally scheduled): Dec 27, 2024

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

Government Agencies

China Ministry of Commerce

Receiving agencies

Government Agencies

Government of Namibia

Loan description

Chinese Government provides RMB 50 million interest-free loan for small industrial projects and small-scale farms

Grace period•10 yearsGrant element•75.0516%Interest rate (t₀)•0%Interest type•Fixed Interest RateMaturity•20 years

Narrative

Full Description

Project narrative

On December 18, 2005, the Chinese Government and the Government of Namibia signed an RMB 50 million (approximately N$44.9 million) interest-free loan agreement to support small industrial projects and small-scale farms in Namibia. The agreement was signed by Namibia’s Finance Minister Saara Kuugongelwa-Amadhila and the Chinese Ambassador to Namibia Liang Yinzhu. It is unclear whether, when, and how the proceeds of the loan were used.

Staff comments

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.