Chinese Government issues N$30 million interest-free loan to TransNamib for acquisition of 4 diesel locomotives and 1 DMU passenger train

In 2004, the Chinese Government and TransNamib — a state-owned railway enterprise in Namibia — signed a N$30 million interest-free loan to facilitate TransNamib’s acquisition of 4 diesel locomotives and 1 DMU passenger train. China Railway Materials Export and Import Company (now known as China Railway Materials Group Corporation) and China South Locomotive & Rolling Stock Corp., Ltd. were the contractors responsible for implementation of the project. This project was completed on July 25, 2004, when the products were shipped from China to Namibia.

Additional details

The loan is not included in the database of Chinese loan commitments that SAIS-CARI released in July 2020. 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

5

Number of total sources

10