Chinese Government provides RMB 40 million interest-free loan for Presidential Palace Expansion Project (Linked to Project ID #12303)

In November 2010, the Chinese Government and the Government of Burundi signed an agreement that committed funding for a Presidential Palace Expansion Project. The Presidential Palace (Palais Présidentiel Ntare Rushatsi) is located in Gasenyi, which is 8 km northeast of Bujumbura's city center in Mutimbuzi district. This project involved the construction of a presidential office building, security guard houses, and sewage treatment facilities in a 10,000 square meters (107,600 sq ft) area. It also involved the installation of equipment. The Chinese Government reportedly provided RMB 40 million for the implementation of this project, and it was funded with the proceeds from an RMB 50 million interest-free loan agreement that the Chinese Government and the Government of Burundi signed on August 21, 2009 (see Project ID#12303). This loan carried the following terms: 20 year maturity, 10 year grace period, and 0% interest. China First Highway Engineering Group Co., Ltd. and Hunan Construction Engineering Group were the contractors responsible for implementation. An official groundbreaking ceremony took place on December 21, 2015. However, construction did not begin until March 4, 2016. This project was ultimately completed and handed over to the authorities on February 14, 2019. The total reported cost of this project is RMB 147 million, but it is unclear if the remaining RMB 107 million came from a Chinese Government grant or interest-free loan.

Additional details

1. This project is also known as the Ntare Rutshatsi House Project. 2. The French project title is Projet Du Palais Presidentiel or Palais Présidentiel NTARE Rushatsi. 3. The Chinese project title is 中国援建布隆迪总统府项目 or 布隆迪总统府项目. 4. A second phase of the project — that involved the construction of parking lots, drainage ditches, and office facilities — was undertaken by the China First Highway Engineering Group Co., Ltd. However, it is not clear if the cost of the second phase required supplemental funding from the Chinese Government (beyond the RMB 40 million that is captured here). Also, note that the interest-free loan which supported this project is omitted from the SAIS-CARI database of Chinese loan commitments (released in July 2020).

Number of official sources

17

Number of total sources

25