CDB provides $25 million loan to Development Bank of Ethiopia for on-lending to SMEs
Commitment amount
$ 29353088.948146127
Adjusted commitment amount
$ 29353088.95
Constant 2021 USD
Summary
Funding agency [Type]
China Development Bank (CDB) [State-owned Policy Bank]
Recipient
Ethiopia
Sector
Banking and financial services (Code: 240)
Flow type
Loan
Level of public liability
Other public sector debt
Infrastructure
No
Category
Project lifecycle
Description
On December 19, 2012, China Development Bank signed a $25 million loan agreement with the Development Bank of Ethiopia to support small and medium sized enterprise (SME) development. The borrowing terms were as follows: a 10 year maturity, a 3 year grace period, and 6 month LIBOR + 2.6% margin.
Additional details
1. The proceeds of this loan were mostly likely on-lend by the Development Bank of Ethiopia to SMEs. 2. The LIBOR margin is identified to be 2.6% in reports, so the all-in interest rate at the month and year of the loan commitment (December 2012) is 3.115% (2.6% + 0.515%).
Number of official sources
5
Number of total sources
6
Details
Cofinanced
No
Direct receiving agencies [Type]
Development Bank of Ethiopia [State-owned Bank]
Implementing agencies [Type]
Development Bank of Ethiopia [State-owned Bank]
Loan Details
Maturity
10 years
Interest rate
3.115%
Grace period
3 years
Grant element (OECD Grant-Equiv)
27.0742%