China Eximbank provides $380 million preferential buyer’s credit for 4,800 Social Housing Units Project

In 2010, China Eximbank and the Government of Equatorial Guinea signed a $380,000,000 preferential buyer’s credit (PBC) agreement for the 4,800 Social Housing Units Project. The PBC carried the following terms: a 2% interest rate, a 2 year grace period, and a 17 year maturity. The proceeds of the loan were used to partially finance a $517 million commercial contract with Dalian International Economic and Technical Cooperation Group. CMEC Comtrans International Co., Ltd. appears to have also been involved in implementation (most likely as a subcontractor). This project involved the construction of between 4700 and 4800 affordable housing units in Malabo, Bata, and Rebola. Construction began in September 2010 and the project was fully completed and handed over to the local authorities in December 2014. According to Caja Autónoma de Amortización de la Deuda Pública within Equatorial Guinea’s Ministry of Finance and Budget, the China Eximbank buyer’s credit loan for the project had disbursed $380,000,000 as of December 31, 2019 and the borrower had made principal ($126,666,666.70) and interest ($39,383,399.14) repayments worth $166,050,065.84 as of December 31, 2019.

Additional details

1. This project is also known as the Social Housing Construction Project. The Chinese project title is 赤道几内亚700套社会住宅建设项目 or 赤道几内亚4800套社会住宅. The Spanish project title is 4800 Viviendas Sociales or Viviendas Sociales de Malabo. 2. This loan is included in the database of Chinese loan commitments that SAIS-CARI released in July 2020. However, SAIS-CARI does not record the borrowing terms of the loan. AidData records the borrowing terms that are reported by the IMF in its 2010 Article IV Consultation Staff Report. 3. The face value of the loan is drawn from ‘Cuadro General de la deuda al 31/12/2019’ from the Caja Autónoma de Amortización de la Deuda Pública within Equatorial Guinea’s Ministry of Finance and Budget.

Number of official sources

18

Number of total sources

23