China Eximbank provides RMB 1.09 billion government concessional loan for RN5A (Ambilobe-Vohémar Road) Rehabilitation Project

On April 10, 2019, the Chinese Government and the Government of Madagascar signed an MOU regarding the financing of the RN5A (Ambilobe-Vohémar Road) Rehabilitation Project. The MOU was signed by MOU was signed by the Chargé d'Affaires of the Chinese Embassy in Madagascar, Chen Xiaolei, and the Malagasy Minister of Foreign Affairs, Naina Andriatsitohaina. Then, on June 14, 2019, China Eximbank and the Government of Madagascar signed an RMB 1,090,000,000 (approximately $156 million or MGA 506 billion) government concessional loan (GCL) agreement for the RN5A (Ambilobe-Vohémar Road) Rehabilitation Project. The project involves the rehabilitation of a 151 km road — known as RN5A — that connects Ambilobe and Vohémar in the north of Madagascar. It also involves the construction of five new bridges and the renovation of ten pre-existing bridges. The regions of Diana and Sava are among the most productive in Madagascar with cloves, cocoa and vanilla, but they suffer from the very poor quality roads. Upon completion, it is envisaged that the rehabilitated RN5A will become the main and only direct line connecting the east and west coasts and will provide a seamless route between the two cities. China Road and Bridge Corporation (CRBC) is the contractor responsible for implementation. A groundbreaking ceremony took place on April 13, 2019 and the project was originally expected to reach completion by June 26, 2021. However, the COVID-19 pandemic led to project implementation delays. CRBC eventually resumed construction, and as of January 2022, the project had achieved a 75% completion rate. The project was ultimately completed on September 9, 2022.

Additional details

1. The French project title is Travaux de Bitumage de la RN5A Entre Ambilobe et Vohemar or Le bitumage de la RN 5A reliant Ambilobe à Vohémar or Travaux de bitumage de la RN 5A reliant Ambilobe à Vohémar or Projet de mise à niveau et de réhabilitation de la RN5A reliant Ambilobe à Vohémar. The Malagasy project title is Ny fandrakofana tara ny RN5A eo anelanelan’Ambilobe sy Vohémar. The Chinese project title is 马达加斯加5A国道升级改造项目 or 5A国道改造目 or 5A国道改造优惠贷款项目 or 马达加斯加5A国道项目. 2. In the World Bank’s Debtor Reporting System (DRS), the face value of the loan is identified as $157,831,150.60

Number of official sources

23

Number of total sources

32