China Eximbank provides $300 million loan to Banco do Brasil for trade financing purposes

On September 1, 2017, China Eximbank and Banco do Brasil signed a Major Financing Terms Agreement at the Great Hall of the People in Beijing. The Major Financing Terms Agreement signing was witnessed by Chinese President Xi Jinping and Former Brazil President Michel Temer. Then, on January 11, 2019, China Eximbank and Banco do Brasil signed a $300 million loan agreement. The loan carries a 4.5% interest rate and a 4 year maturity (final maturity date: November 14, 2023). The proceeds of the loan were to be used by the borrower as working capital for China-Brazil trade financing purposes. The loan was also intended to improve the liquidity of Banco do Brasil. As of December 31, 2020, the loan's (principal) amount outstanding was $300 million.

Additional details

1. This loan is coded as 'Vague OF' for the time being because the its level of financial concessionality (grant element) is unknown. 2. Banco do Brasil S.A. (English: Bank of Brazil) is a Brazilian financial services company headquartered in Brasília, Brazil. The oldest bank in Brazil, and among the oldest banks in continuous operation in the world, it was founded by John VI, King of Portugal, on Wednesday, 12 October 1808. It is the second largest banking institution in Brazil, as well as the second largest in Latin America, and the seventieth largest bank in the world. Banco do Brasil is controlled by the Brazilian Government and is listed at the B3 stock exchange in São Paulo. 3. The borrowing terms of the loan were drawn from the following source: https://api.mziq.com/mzfilemanager/v2/d/5760dff3-15e1-4962-9e81-322a0b3d0bbd/09955da0-2b96-56cb-71c5-190ec64b5fb2?origin=1

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