China Eximbank provides RMB 299.55 million government concessional loan for Phase 1 of Railway Passenger Car Acquisition Project (Linked to Record ID#88173)

Project narrative

In March 2007, China Eximbank and the Government of Turkmenistan signed an RMB 299.55 million government concessional loan (GCL) agreement for Phase 1 of the Railway Passenger Car Acquisition Project (captured via Record ID#54403). The borrowing terms of the loan included a 20-year maturity and a 3% interest rate, but its grace period is unknown. The loan proceeds were used by the Turkmenistan Ministry of Railways to finance Phase 1 of the commercial contract signed on January 27, 2007 with CITIC Construction. Then, in 2009, China Eximbank and the State Bank for Foreign Economic Affairs of Turkmenistan signed an RMB 328.45 million government concessional loan (GCL) agreement for Phase 2 of the Railway Passenger Car Acquisition Project (captured via Record #88173). The loan carried a 20-year maturity and a 3% interest rate, but its grace period is unknown. The loan proceeds were used by the Turkmenistan Ministry of Railways to finance Phase 2 of the amended RMB 628 million commercial contract signed on November 13, 2009 with CITIC Construction. CITIC Construction was the contractor responsible for implementation. The first batch of 104 passenger cars was successfully delivered in June 2008 and put into use by Turkmenistan's Ministry of Railways. The second batch of 113 passenger cars was successfully delivered in October 2011 and put into use by Turkmenistan's Ministry of Railways.