China Eximbank pledges $31.5 million loan for acquisition of MA60 aircraft as part of ‘buy one, get one free’ deal (Linked to Project ID#30063)

On September 16, 2011, AVIC International and Burundi’s Ministry of Transport, Public Works and Equipment signed a commercial contract for an MA60 Acquisition Project. This contract was reportedly part of a “buy one, get one free” deal in which the Chinese Government promised to donate one MA60 from AVIC International on the condition that the Government of Burundi would buy a second MA60 aircraft from the same company. On June 29, 2012, AVIC International successfully delivered the first MA60 (funded with a Chinese Government grant) to the Government of Burundi. Then, on August 16, 2013, China Eximbank and the Government of Burundi signed a preferential loan framework agreement for the acquisition of one MA60 aircraft (capable of carrying 56 passengers). The framework agreement referred to a $31,527,000 loan with the following terms: 20 year maturity and 2% interest rate. However, it does not appears that a loan agreement was ever finalized.

Additional details

- The Chinese project title is 中国产新舟60飞机. - - For the time being, AidData uses the face value of the loan pledge (captured in Project ID#56914) to estimate the value of the grant commitment for Project ID#30063.

Number of official sources

10

Number of total sources

18