CNMC Industrial Zone Development provides $11.1 million loan for Power Transmission Line to Chambishi Park Project
Commitment amount
$ 16672311.535850193
Adjusted commitment amount
$ 16672311.54
Constant 2021 USD
Summary
Funding agency [Type]
CNMC Industrial Zone Development Zambia Limited [State-owned Company]
Recipient
Zambia
Sector
Energy (Code: 230)
Flow type
Loan
Level of public liability
Other public sector debt
Infrastructure
Yes
Category
Project lifecycle
Description
In 2009, CNMC Industrial Zone Development (a subsidiary of state-owned China Nonferrous Metal Mining (Group) Co., Ltd) provided a $11.1 million loan to ZESCO Limited (Zambia’s state-owned power company) for a power transmission line to Chambishi Park. This loan facility is equal to 40% of total project cost ($27.8 million) and it carries the following borrowing terms: a 15-year maturity and a 0% interest rate. As of December 31, 2017, the loan's amount outstanding was $4.4 million. Chambishi Park is part of the Zambia-China Economic & Trade Cooperation Zone (ZCCZ), which is the first Chinese special economic zone established in Africa. As of the end of 2011, 17 companies had settled in the ZCCZ with a total output value of $4.35 billion which surpasses the original investment of $900 million USD. It is located in the central part of the Zambia Copper Belt Province, 360 km from Lusaka, the capital of Zambia, and 70 km from Ndola, the second largest city in Zambia.
Additional details
1. This loan is omitted from the SAIS-CARI database of Chinese loan commitments released in 2020 and re-released in 2021.
Number of official sources
5
Number of total sources
5
Details
Cofinanced
No
Direct receiving agencies [Type]
Zambia Electricity Supply Corp. (ZESCO) [State-owned Company]
Loan Details
Maturity
15 years
Interest rate
0.0%
Grant element (OECD Grant-Equiv)
43.6249%