Chinese Government provides CVE 1.4 billion interest-free loan for Phase 2 of the National Stadium Construction Project (Linked to Project ID#21687, #56508, #56521, #72794)

In January 2012, the Chinese Government and the Government of Cape Verde signed an interest-free loan agreement for Phase 2 of the National Stadium Construction Project. The estimated value of this loan from China’s Ministry of Commerce (MOFCOM) is CVE 1.4 billion ($15.4 million or EUR 12.7 million). Phase 2 involved an expansion in the capacity of the National Stadium (Estádio Nacional de Cabo Verde) from 10,000 seats to 15,000 seats. Huashan International Construction Corporation was the contractor responsible for implementation. Between December 21, 2012 to December 29, 2012, a team of experts commissioned by MOFCOM’s Economic Cooperation Bureau conducted a mid-term quality inspection of Phase 2 and construction was originally scheduled for completion in August 2013. Then, on February 14, 2014, the Chinese Government and the Chinese Government signed a supplementary agreement for Phase 2, but it is unclear if this agreement involved an additional financial commitment. A stadium opening ceremony was held on August 23, 2014 and the stadium hosted its first international soccer competition on September 10, 2014. A project handover ceremony took place on August 31, 2015.

Additional details

1. The Chinese project title is 佛得角体育场全景 or 佛得角国家体育场二期项目. The Portuguese project title is Segunda fase da construção do Estádio Nacional or Ampliação do Estádio Nacional em mais 5 mil lugares. 2. The interest-free loan that MOFCOM issued in 2012 for Phase 2 of the National Stadium Construction Project is not included in the database of Chinese loan commitments to African governments that SAIS-CARI released in 2020. 3. Since the borrowing terms of the interest-free loan are unavailable, AidData has set maturity 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 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. 4. The Chinese Government also financed a National Stadium Access Road Construction Project (captured in Project ID#56521) and two phases of a National Stadium Technical Cooperation Project in 2015 (captured in Project#56508) and 2017 (Project ID#72794).

Number of official sources

15

Number of total sources

28