[Sino-Congolese Programme] China Eximbank provides $6 million loan for Kabondo-Dianda-Mukwende Earth Road Rehabilitation 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 Kabondo-Dianda-Mukwende Earth Road Rehabilitation Project. As of 2020, the loan had achieved a disbursement rate of 78% ($4,675,992.11 out of $6,000,000). The project involved the widening and construction of an overture for the 350 km Kabondo-Dianda-Mukwende earth road within Haut-Lomami Province. CREC 7 — a subsidiary of China Railway Engineering Corporation (CREC) — was the contractor responsible for project implementation. It was awarded a $6 million contract (ID#ACGT/DG/-12/2015) on August 17, 2015. Then, on November 8, 2018, construction began. In December 2021, the road passed the provisional acceptance criteria after an evaluation, meaning the project has effectively reached completion.