Chinese Government cancels RMB 239.26 million of the Government of Mozambique’s outstanding debt obligations

On October 26, 2017, Mozambique's Deputy Minister of Foreign Affairs and Cooperation, Nyeleti Mondlane, and the Chinese Ambassador to Mozambique, Su Jian signed an agreement on the partial cancellation of the Government of Mozambique outstanding debt obligations to the Chinese Government. The Chinese Government reportedly cancelled the Government of Mozambique’s outstanding debt obligations by RMB 239.26 million (or approximately $36,166,400). These obligations resulted from four interest-free loans that the Government of Mozambique previously contracted with the Chinese Government.

Additional details

The loans forgiven through this action were almost certainly interest-free loans committed through previous ETCAs. As such, the loans likely had maturity lengths of 20 years and since they had reached maturity no later than 2017, they were likely contracted prior to 2000. Therefore, AidData has not assigned this record to the umbrella category (as there is little risk of double counting the monetary value of the debts that were forgiven)."

Number of official sources

2

Number of total sources

12