[China-Venezuela Joint Fund] Continuation of the Gran Mariscal de Ayacucho Highway in Venezuela (linked to #58677)
Summary
Funding agency [Type]
China Development Bank (CDB) [State-owned Policy Bank]
Recipient
Venezuela
Sector
Transport and storage (Code: 210)
Flow type
Loan
Level of public liability
Other public sector debt
Infrastructure
Yes
Category
Project lifecycle
Geography
Description
The China-Venezuela Joint Fund financed the continuation of the Gran Mariscal de Ayacucho Highway. Construction began in 2014, and the Venezuelan government committed to the project in 2013 in the Plan de Movilidad para la Región Metropolitana de Caracas. The Bank of China (CDB) and FONDEN or the National Development Fund (administered through Bandes) manage this fund. It is unclear which tranche funds this project. The cost is unknown, but in the Ministry of Transportation and Public Works source, the president of CorpoMiranda, Elias Jaua Milano, says that the project anticipates an investment of 4 million bolivars, product of the financing from the China-Venezuela joint fund. The plan specifically calls for the construction of the Los Velasquez-El Guapo stretch in Miranda State and the construction of the Unare-Piritu segment in Anzoategui State. The China-Venezuela Joint Fund receives contributions from China Development Bank and FONDEN, and it is administered by BANDES. See project ID#58677 for more information on the fund. The first commitment to this fund was made in 2007.
Additional details
The flow type is unclear, however, the Chinese part of the fund is financed by a loan, so the same is assumed here. The transaction amounts for all sub-projects are accounted for in the projects for the three tranches and their renewals. Because it is unclear how much funding for each project is from the Chinese side and it is unclear which tranche is funding each sub-project, the transaction amounts should not be recorded until this information is known.
Number of official sources
3
Number of total sources
8
Details
Cofinanced
No
Direct receiving agencies [Type]
Banco de Desarrollo Económico y Social de Venezuela (BANDES) [State-owned Bank]
China-Venezuela Joint Fund [State-owned Fund]
Implementing agencies [Type]
Venezuela Ministry of Transportation and Communications [Government Agency]
China-Venezuela Joint Fund [State-owned Fund]
Collateral provider [Type]
Pétroleos de Venezuela S.A. (PDVSA) [State-owned Company]
Collateral
Venezuela undertakes through PDVSA to sell fuel and / or crude oil in accordance with the oil contract (s) to ChinaOil in quantities not less than 230,000 barrels per day, by the date on that the obligations assumed with respect to the facilities have been completed and unconditionally fulfilled by BANDES; ChinaOil will deposit the money for the purchase of crude oil and fuel directly into the collection account opened and maintained by the BANDES and CDB.