Chinese Government pledges RMB 20 million interest-free loan for unspecified purposes

On December 3, 2000, Tang Jiaxuan, China's foreign minister laid a wreath at the ruins of the Chinese embassy destroyed by NATO bombs and denounced the West for 'double standards' over human rights. U.S. jets struck the Chinese embassy on May 7, 1999, during the 78-day NATO bombing of Yugoslavia, causing three deaths and 27 injuries. Tang arrived for the first high-level visit by a Chinese official since the fall of the Milosevic regime in October 2000 and the rise to power of democratically elected President Vojislav Kostunica. On December 2, Yugoslavia's foreign minister, Goran Svilanovic, said Tang Jiaxuan promised RMB 20 million ($2.4 million) in aid (in the form of an interest-free loan) to the new government and promised to support Belgrade's entry into international organizations. Also, in a statement following a meeting between Yugoslavia's deputy prime minister, Miroljub Labus, and Tang Jiaxuan, Labus said that China remained Yugoslavia's 'strategic partner’ and it promised not to press Yugoslavia to repay the ‘millions of dollars’ that it owes China.

Additional details

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

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Number of total sources

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