Skip to content
AidData logo

Overview

Chinese Government cancels $32 million of the Republic of Congo's outstanding obligations

Commitments (Constant USD, 2023)$53,170,065
Commitment Year•2007Country of Activity•CongoDirect Recipient Country of Incorporation•CongoSector•Action Relating To DebtFlow Type•Debt forgiveness

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Jul 18, 2007
Start (actual)
Jul 18, 2007
End (actual)
Jul 18, 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 Republic of Congo

Loan description

Chinese Government cancels $32 million of the Republic of Congo's outstanding obligations

Narrative

Full Description

Project narrative

On July 18, 2007, the Chinese Government and the Republic of Congo signed a Memorandum of Understanding (MoU) in Brazzaville. The agreement was signed by Congolese Minister of Economy, Finance, and the Pacific Budget, Issoïbeka, and the Chinese Ambassador to Congo, Wo Ruidi. Under the terms of the agreement, the Chinese Government reportedly cancelled 15.6 billion CFA francs ($32 million) of the Republic of Congo’s total outstanding obligations (30.6 billion CFA francs). This cancellation represented 97.5% of the Republic of Congo’s stock of arrears and 22% of the stock excluding arrears. According to a publication from l’Université Marien Ngouabi, this act of Chinese debt forgiveness was completed.

Staff comments

SAIS-CARI identifies $64 million as the value of the debt forgiveness that was granted. AidData records the value ($32 million) that is reported by China’s Ministry of Commerce (MOFCOM). The loans that were forgiven were almost certainly contracted prior to 2000, so this project is not marked as umbrell as there is little risk of double counting. This act of debt forgiveness is identified as separate from the act of debt forgiveness captured in Record ID#334.