[Sino-Congolese Programme] China Eximbank provides $13 million loan for Phase 1 of the 55.5 km Bukavu-Nyangezi-Kamanyola-Uvira Segment of Route Nationale 5 (RN5) Construction and Modernization Project (Linked to Project ID#450 and #85310)”

In 2008, China Eximbank issued a $3 billion line of credit to Sino–Congolais des Mines (Sicomines SARL) — a joint venture — to finance infrastructure projects in the DRC (see linked project ID#450). All borrowings through this line of credit (framework agreement) are repaid with revenues from mining projects managed by Sicomines SARL. Each subsidiary loan issued through the line of credit carries a maturity of 25 years, a grace period of 10 years, and an interest rate of 6-month LIBOR plus a 1% margin (or 3.839% at the time of the agreement). The infrastructure projects that are supported by the line of credit are collectively referred to as the 'Sino-Congolese Programme'. The Government of Democratic Republic of Congo issued a sovereign guarantee for all infrastructure loans approved through the 'Sino-Congolese Programme’. One of the subsidiary loans issued as part of the ‘Sino-Congolese Programme’ was a $13 million loan for the 55.5 km Bukavu-Nyangezi-Kamanyola-Uvira Segment of Route Nationale 5 (RN5) Construction and Modernization Project. The loan ultimately achieved a disbursement rate of 100% ($13 million out of $13 million). The project involved the construction and modernization of a 55.5 km road between the town of Bukavu and the town of Uvira in North Kivu Province. The road also connects the cities of Uvira and Kamanyola, which are border towns near Rwanda and Burundi and important areas for agricultural production. Sinohydro 14 and CIMA International were the contractors responsible for implementation and their work was overseen by DRC's Agence Congolais des Grands Travaux. Sinohydro 14 and CIMA International were awarded a $13 million contract (ID#ACGT/DG/001/2014) on April 8, 2015. The contract was amended on August 28, 2015. Construction began on November 5, 2011 and the project was originally expected to last 20 months (July 5, 2013 estimated completion date). The project was provisionally completed on March 14, 2017 and formally completed on April 15, 2018.

Additional details

1. This project is also known as the RN5 Bukavu-Ngangezi-Kamanyola Upgrade project. The French project title is Travaux du Projet d'Asphaltage de la route Bukavu-Kamanyola or Projet de Construction et Modernisation de la RN5 : Bukavu-Nyangezi-Kamanyola-Uvira/Lot1 : Bukavu - Nyangezi - Kamanyola (55,50 Km). 2. The project was carried out in 2 phases: 5km of the RN5 in Phase 1 and 50km of the RN5 in Phase 2. Phase 2 is captured via Project ID#85310. 3. One source suggests that the project’s originally scheduled completion date was March 14, 2017. This issue warrants further investigation.

Number of official sources

16

Number of total sources

23