[Sino-Congolese Programme] China Eximbank provides $6 million loan for Kolwezi Road Rehabilitation and Modernization Project (Linked to Record ID#450)

Project narrative

In 2008, China Eximbank issued a $3.003 billion general buyer's credit loan to Sino–Congolais des Mines (Sicomines SARL) — a joint venture — to finance infrastructure projects in the DRC (as captured via Record ID#450). All subsidiary borrowings under the (government-guaranteed) general buyer's credit loan agreement were to be repaid with revenues from mining projects managed by Sicomines SARL. Each subsidiary loan carried a maturity of 25 years, a grace period of 10 years, and an interest rate of 6-month LIBOR plus a 1% margin (or 3.839% at the time of the agreement). All infrastructure projects supported through the general buyer's credit loan were part of the so-called “Sino-Congolese Programme." One of the subsidiary loans issued as part of the “Sino-Congolese Programme” was a $6 million loan for the Kolwezi Road Rehabilitation and Modernization Project. The purpose of this project was to rehabilitate 5 km of roads in the city of Kolwezi and the province of Lualaba. It involved the rehabilitation of Line B (4.073 km) and Line C / Avenue Kazembe (584 km); rehabilitation of a school and a basketball court; construction of a market for agricultural products; development of a football field and updating of power supply equipment in Kapata district; and rehabilitation works in and Harmonie district. China Railway Engineering Corporation (CREC) was the contractor responsible for project implementation. Construction began on September 3, 2016 and ended in December 2017. The project was officially completed on August 20, 2019.