China Eximbank provides RMB 31.2 million government concessional loan for Gaborone Housing Project (425 Units)

On October 30, 2001, China Eximbank and the Government of Botswana signed a government concessional loan (GCL) agreement worth RMB 32.41 million. The GCL carries the following terms: a 12.5 year maturity, a 5 year grace period, a 4% interest rate, a 0% default (penalty) interest rate, and a 0.25% management fee. Botswana’s Parliament ratified this loan agreement on May 30, 2003. The face value of the loan was subsequently revised to RMB 31,211,039. Its final maturity date was May 10, 2014. The proceeds of the loan were on-lent to Botswana Housing Corporation. This project involved the construction of 425 low-income housing units in Gaborone. Complant Botswana (Pty) Ltd., a subsidiary of China National Overseas Engineering Corporation (COVEC), was the contractor responsible for implementation. It signed a construction contract (serial number: Contract C539) with the Botswana Housing Corporation on May 23, 2001 and the proceeds from the China Eximbank GCL were used to finance this contract. By June 2006, this project was completed.

Additional details

1. This project is also known as the BHC Gaborone Housing Project or the Botswana Housing Project (Gaborone). This project was completed in June 2005. The Chinese project tittle is 博茨瓦纳的低造价住房项目 or 低造价住房共425 or 425套住宅及配套项目. 2. In the database of Chinese loan commitments that it released in July 2020, SAIS-CARI does not include this loan. It does include a $3 million loan from China Eximbank in 2001 for the “Gaborone BHC houses - 217 Houses” Project. However, AidData has not identified any official sources that corroborate the existence of such a loan. 3. The China Eximbank loan agreement can be accessed in its entirety via https://docs.aiddata.org/ad4/pdfs/how_china_lends/BWA_2001_430.pdf

Number of official sources

6

Number of total sources

9