China signs and Economic and Technical Cooperation Agreement offering an interest-free loan to Tanzania

In March 2013, President Xi Jinping paid a state visit to Tanzania. During this visit, the Chinese Minister of Commerce signed an economic and technical cooperation agreement (ETCA) offering an interest-free loan to the Tanzania Ministry of Finance. The value of this loan is unclear. How this money was spent is unknown. At the same meeting, officials also committed to the following projects: 30332, 30320, 30606, 30599, 30607, 30597, 30330, 30437, 30602, 30603.

Additional details

This agreement was explicitly described as an ETCA, but essentially all interest-free loans coming from the Chinese Ministry of Commerce are delivered through ETCAs. 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

1

Number of unofficial sources

2