China Eximbank reschedules outstanding debts of Government of Chad through maturity extensions (Linked to Record ID#397, #398, #72356)

Project narrative

In 2007, China Eximbank and Sociètè Nationale de Ciment (SONACIM Tchad) — a state-owned company in Chad — signed an RMB 700 million loan for the Baoré Cement Factory Project. This loan carried the following terms: an interest rate of 1.5% and a 5-year grace period (captured via Record ID#397). In the same year, China Eximbank and the Government of Chad signed a $25.06 million loan for the CDMA 2000 (Fixed Wireless Telephony) Project. This loan carried the following terms: an interest rate of 1.5% and a 5-year grace period (captured via Record ID#398). Then, in May 2011, China Eximbank and Société de Raffinage de N'Djaména (SRN) SA — a Sino-Chadian joint venture — signed a $330 million preferential buyer’s credit (PBC) for the Rônier Oil Refinery And Pipeline Project (or N'Djamena Refinery and Pipeline Project). The PBC reportedly carried the following terms: a 15-year maturity, a 5-year grace period, and an interest rate of 3.414% interest rate (6-month LIBOR plus 300 basis points) (captured via Record ID#72356). After a sharp decline in oil prices in 2014-2015, Chad experienced an economic recession and a debt crisis and its government sought to renegotiate the borrowing terms of these three loans with China Eximbank. A rescheduling deal was finalized in April 2017: China Eximbank agreed to the lengthen the maturities of these three loans and reschedule arrears that had accumulated (as captured via Record ID#55744). It appears that China Eximbank did not require the accumulated arrears to be repaid before rescheduling the maturities of the loans.