China Eximbank provides RMB 99.6 million loan for Plywood Factory Construction Project in Kompong Cham Province (Linked to Record ID#32031)

Project narrative

In 1999, the Chinese Government agreed to provide an RMB 150 million loan to the Government of Cambodia. The loan was ultimately provided through two separate tranches for two different projects. On December 25, 2000, the Export-Import Bank of China and the Government of Cambodia signed an RMB 50 million loan for a Textile Factory Construction Project (captured in linked Record ID#32031). On July 26, 2000, China Eximbank and the Government of Cambodia also signed an RMB 99.6 million loan for a Plywood Factory Construction Project (as captured in this project). Then, on October 9, 2010, the Government of Cambodia and Kampuchea-Chinese International Cooperation Co Ltd. — a Sino-Cambodian joint venture that was chaired and partially owned by a Cambodian Senator named Men Sarun — signed an on-lending agreement for the Plywood Factory Construction Project. This loan that supported this project carried the following terms: a 5% interest rate, 4 year grace period, and 12 year maturity. The purpose of the project was to build a medium-density fiberboard production plant in Kampong Cham Province. Upon completion, it was expected to generate 50,000 cubic meters of medium-density fiberboard (plywood) each year.