Skip to content
AidData logo

Overview

China Eximbank provides CFA 20 billion loan for Phase 2 of the Togo Mobile Network Expansion Project (Linked to Record ID#64098)

Commitments (Constant USD, 2023)$71,778,912
Commitment Year•2006Country of Activity•TogoDirect Recipient Country of Incorporation•TogoSector•CommunicationsFlow Type•Loan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Jan 1, 2006
End (actual)
Sep 10, 2006
First repayment (originally scheduled)
Dec 28, 2020
Last repayment (originally scheduled)
Dec 26, 2030

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% host country ownership

Funding agencies

State-owned Policy Banks

  • Export-Import Bank of China (China Eximbank)

Receiving agencies

State-owned companies

  • Togocom

Implementing agencies

Government Agencies

  • Government of Togo

Joint Venture/Special Purpose Vehicles

  • Nokia Shanghai Bell Co., Ltd. (formerly known as Alcatel-Lucent Shanghai Bell Co., Ltd.)

State-owned companies

  • Togocom

Loan description

China Eximbank provides CFA 20 billion loan for Phase 2 of the Togo Mobile Network Expansion Project

Grace period•15 yearsGrant element•67.1947%Interest rate (t₀)•2%Interest type•Fixed Interest RateMaturity•25 years

Narrative

Full Description

Project narrative

In 2006, the Export-Import Bank of China Eximbank and the Government of Togo signed a preferential loan agreement worth CFA 20 billion for Phase 2 of the Togo Mobile Network Expansion Project. The loan carried the following estimated borrowing terms: a 25-year maturity, a 15-year grace period, and a 2% interest rate. The proceeds of the loan were used to finance a commercial contract between Togo Cellulaire and Alcatel-Lucent Shanghai Bell Co, Ltd., a French-Chinese joint venture. Phase 2 sought to improve Togo Cellulaire's mobile coverage in the city of Lomé, north Togo, and remote areas of the country, improving communications in Togo and helping meet the growing demand for mobile communication from the Togolese people. On September 10, 2008, a project completion ceremony was held and attended by dignitaries from China and Togo, including the Chinese Ambassador to Togo, Yang Min, and the Togolese ministers of Cooperation, Finance, and Telecommunications.

Staff comments

1. This project is also known as Phase 2 of the Telecom Network Expansion Project. The Chinese project title is 多哥移动二期扩容项目 or 多哥移动公司(多哥移动)二期项目. 2. For the time being, AidData identifies the Government of Togo as the borrower. However, there are some indications that Togo Cellulaire (Togocel), which was wholly owned by the Government of Togo until 2019 and is now co-owned by Axian Group & Emerging Capital (51% equity stake) and the Government of Togo (49% equity stake), may be been the primary borrower or secondary borrower (through an on-lending arrangement with the Government of Togo). This issue merits further investigation. 3. Togo Cellulaire (also known as Togocel or Togo Mobile) was a wholly state-owned company and subsidiary of Togo Telecom. At the time, its network covered 90% of the country and had a portfolio of 300,000 subscribers. 4. China Eximbank also financed Phase 1 of the Togo Mobile Network Expansion Project in 2004 (as captured via Record ID#64098). 5. The estimated borrowing terms of the loan are drawn from the World Bank's Debtor Reporting System (DRS). See https://www.dropbox.com/s/2sw4f7gluxa52fk/DRS%20Official%20Commitments%20from%20China%20Through%202021.xlsx?dl=0 and https://www.dropbox.com/s/ab8qt4n6jijcbhd/IDS_Average%20interest%20on%20new%20external%20debt%20commitments.xlsx?dl=0 and https://www.dropbox.com/s/949n5rctiue6d7c/IDS_Average_grace_period_and_maturity_on_new_external_debt_commitments.xlsx?dl=0