Project ID: 22041

China Eximbank provides $334.7 million for Agricultural Machinery Acquisition Project (linked to #63444)

Commitment amount

$ 357462722.1

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.

Summary

Funding agency [Type]

Export-Import Bank of China [State-owned Policy Bank]

Recipient

Zimbabwe

Sector

Agriculture, forestry, fishing (Code: 310)

Flow type

Export Buyer's Credit

Concessional

Yes

Category

Intent

Mixed (The next section lists the possible statuses.)

Commercial

Development

Representational

Mixed

Financial Flow Classification

OOF-like (The next section lists the possible statuses.)

Official Development Assistance

Other Official Flows

Vague (Official Finance)

Flows categorized based on OECD-DAC guidelines

Project lifecycle

Status

Suspended (The next section lists the possible statuses.)

Pledge

Commitment

Implementation

Completion

Suspended

Cancelled

Milestones

Commitment year

2011

2011-03-21

Planned implementation start

Description

On 21 March, 2011, China Eximbank and the Government of Zimbabwe signed a $334.7 million buyer’s credit loan (BCL) agreement for the Agricultural Machinery Acquisition Project (See: 2019_Blue_Book_Combined (1)). The loan was signed in the presence of the Finance Minister of Zimbabwe, Tendai Biti, the President of the Export-Import Bank of China, Li Riougu, the Zimbabwean Vice President, Joice Mujuru, and the Vice Premier of China, Wang Qishan. It was also ratified by Zimbabwe’s Parliament. It carries the following terms: 11 year maturity, 4 year grace period, an interest rate of 3.507% (calculated by adding the 6-month LIBOR for March 2011, .507, plus a 3% margin: 0.507 + 3= 3.507%), a 0.375% management fee, and a 0.375% commitment fee (See: Zimbabwe 2011 ARTICLE IV CONSULTATION). The purpose of this project was to facilitate for the acquisition of tractors and other agricultural machinery.As of May 2020, this loan had not yet been disbursed due to the fact that the Government of Zimbabwe did not meet a key condition of the loan agreement: the provision of a 10% down payment. As such, this loan appears to be inactive or in state of suspension. Zimbabwe’s Ministry of Finance and Economic Development did not identify this loan as an outstanding obligation in its 2019 Blue Book Estimates of Revenue and Expenditure.This project was financed as part of larger $566 million USD umbrella agreement, which is captured in the linked project #63444.

Additional details

AidData has status-coded this project as ‘Suspended’ for the time being.

Number of official sources

4

Number of unofficial sources

12

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Details

Cofinanced

No

Receiving agencies [Type]

Government of Zimbabwe [Government Agency]

Loan type

Concessional

Maturity

11 years

Interest rate

3.5069999999999997%

Grace period

4 years

Management fee

0.375

Commitment fee

0.375

Grant element

32.05542123%

Gurarantee provided

No

Insurance provided

No