Overview

Chinese Government cancels RMB 249,730,000 of the Government of DRC’s outstanding debt obligations

Commitments (Constant USD, 2023)$54,553,079

Commitment Year•2007Country of Activity•Democratic Republic of the CongoDirect Recipient Country of Incorporation•Democratic Republic of the CongoSector•Action Relating To DebtFlow Type•Debt forgiveness

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date: Aug 1, 2007

Start (actual): Aug 1, 2007

End (actual): Aug 1, 2007

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Funding agencies

Government Agencies

China Ministry of Commerce

Receiving agencies

Government Agencies

Government of Democratic Republic of Congo

Loan description

Chinese Government cancels RMB 249,730,000 of the Government of DRC’s outstanding debt obligations

Narrative

Full Description

Project narrative

In 2007, the Chinese Government and the Government of the Democratic Republic of Congo signed a debt exemption protocol, which cancelled RMB 249,730,000 of the Government of the Democratic Republic of Congo’s outstanding debt obligations.

Staff comments

China made a concerted effort in 2007 to forgive the debt from interest-free loans maturing by the end of 2005 to heavily-indebted African countries (http://kp.china-embassy.org/chn//zgxw/zgzxxw/t293317.htm). Since interest-free loans usually have 20 year maturities (http://www.gov.cn/zwgk/2011-04/21/content_1850553.htm), we have assumed the loans included in this debt forgiveness package would have been contracted before 2000. As such, this project is not marked as umbrella, as there is little risk of double counting.