China Eximbank provides $54.8 million loan for 264 Mpila Social Housing Units Construction Project (Linked to Project ID#60219)

On June 19, 2006, China Eximbank and the Republic of Congo signed a $1.6 billion loan framework agreement — also known in the Republic of Congo as the “strategic partnership” (“partenariat stratégique”) — that allowed the Republic of Congo to obtain China Eximbank loans for infrastructure projects through a securitization mechanism: Société Nationales des Pétroles Congolais (SNPC)—the country’s state-owned oil company—agreed to deposit a portion of the cash proceeds from its oil exports into an escrow account that is controlled by China Eximbank. This framework agreement (captured in Project ID#60219) was ratified on October 26, 2006. One of the subsidiary loans that was approved through the framework agreement was a $54,800,000 loan in 2013 for the 264 Mpila Social Housing Units Construction Project. The loan carried a 13-year maturity and a 0.25% interest rate. Its estimated grace period was 4 years. The proceeds of the loan were to be used by the borrower to finance 85% of the cost of a $64.47 million commercial contract with Weihai International Economic & Technical Cooperative Co., Ltd (WIETC). The loan’s (principal) amount outstanding was $45,587,625 as of December 31, 2019. WIETC was the contractor responsible for implementation. This project was initiated in August 2013 and completed in August 2016.

Additional details

1. The French project title is Construction 264 Logements sociaux. The Chinese project title is 姆皮拉住房项目. 2. The China Eximbank loan that supported this project is not included in the database of Chinese loan commitments that SAIS-CARI released in July 2020. Nor is it included in the the Chinese Overseas Development Finance Dataset published by Boston University’s Global Development Policy Center in December 2020. 3. According to a 2019 report published by the Republic of Congo’s National Assembly, all loans approved under the June 19, 2006 framework agreement had grace periods between 3 and 5 years. Therefore, since the grace period of the China Eximbank loan for the 264 Mpila Social Housing Units Construction Project is missing, AidData imputes a value (4 years) at the middle of the distribution of this range as an approximation. 4. This project is separate from the RMB 310 million China Eximbank loan for the Mpila Social Housing Construction Project (captured via Project ID#68909).

Number of official sources

10

Number of total sources

19