Overview

China Eximbank provides EUR 65.7 million loan for Phase 3 (Zhlobin-Kalinkovichi Section) of Railway Electrification Project (Linked to Record ID#66722, ID#66727, and ID#46387)

Commitments (Constant USD, 2023)$76,377,145

Commitment Year•2019Country of Activity•BelarusDirect Recipient Country of Incorporation•BelarusSector•Transport And StorageFlow Type•Loan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date: Apr 25, 2019

End (planned): Nov 1, 2020

End (actual): Dec 27, 2021

Geospatial footprint

Map overview

Visualizes the AidData-provided feature geometry for this project.

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The purpose of the project was to electrify a 141 km railway segment from Zhlobin to Kalinkovichi (also known as (also known as Žlobin to Kalinkavičy or Zhlobin to Kalinkovichi). More detailed locational information can be found at https://www.openstreetmap.org/way/315732386#map=13/52.1731/29.4045 and https://www.openstreetmap.org/way/30055838#map=14/52.1528/29.3681 and https://www.openstreetmap.org/way/1017321619 and https://www.openstreetmap.org/way/315732355#map=12/52.3097/29.4413 and https://www.openstreetmap.org/way/653719657#map=13/52.4398/29.5131 and https://www.openstreetmap.org/way/505593986#map=14/52.5480/29.6481 and https://www.openstreetmap.org/way/475771713 and https://www.openstreetmap.org/way/399486937#map=13/52.6365/29.7183 and https://www.openstreetmap.org/way/34107832#map=15/52.6478/29.7203 and https://www.openstreetmap.org/way/34107835 and https://www.openstreetmap.org/way/399486940 and https://www.openstreetmap.org/way/399486941 and https://www.openstreetmap.org/way/199997508#map=14/52.7717/29.8655 and https://www.openstreetmap.org/way/399486942 and https://www.openstreetmap.org/way/399486943#map=14/52.7873/29.8937 and https://www.openstreetmap.org/way/160283954#map=14/52.8336/29.9605 and https://www.openstreetmap.org/way/399486944 and https://www.openstreetmap.org/way/172673677 and https://www.openstreetmap.org/way/399486946 and https://www.openstreetmap.org/way/279958624 and https://www.openstreetmap.org/way/24945769

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

Belarusian Railway

Implementing agencies

State-owned companies

China National Electric Import & Export Corporation (CUEC)

Guarantors

State-owned Banks

JSC JSSB Belarusbank

Collateral providers

State-owned companies

Belarusian Railway

Loan desecription

China Eximbank provides EUR 65.7 million loan for Phase 3 (Zhlobin-Kalinkovichi Section) of Railway Electrification Project

Interest type•Unknown

Collateral

The borrower pledged the cash balance in an escrow account as a formal security interest (through an account pledge agreement).

Narrative

Full Description

Project narrative

On April 25, 2019, China Eximbank and Belarusian Railway signed an EUR 65.7 million loan agreement for Phase 3 (Zhlobin-Kalinkovichi Section) of the Railway Electrification Project. The borrowing terms of the loan are unknown. However, it is known that the borrower pledged the cash balance in an escrow account as a formal security interest (through an account pledge agreement). Belarusbank served as the guarantor for the loan. The proceeds of the loan are to be used by the borrower to finance 85% of the cost of an EUR 77.3 million commercial contract between Belarusian Railway and China National Electric Import & Export Corporation (CUEC). The purpose of the project was to electrify a 141 km railway segment from Zhlobin to Kalinkovichi (also known as (also known as Žlobin to Kalinkavičy or Zhlobin to Kalinkovichi). China National Electric Import & Export Corporation (CUEC) was the EPC contractor responsible for implementation. Construction began in 2018 and the project was originally expected to reach completion by November 2020. However, this project has encountered implementation delays. It is now scheduled for completion in 2022.

Staff comments

1. This project is also known as Third Stage of the Electrification of Gomel-Zhlobin-Osipovichi and Zhlobin-Kalinkovichi Project, the Third Stage of the Electric Locomotive and Railway Electrification Project, and the Electrification of the Zhlobin-Kalinkovichi Section Project. The Russian project title is Электрификация участка Жлобин-Калинковичи or проекта «Электрификация участков Гомель—Жлобин—Осиповичи и Жлобин—Калинковичи 3-я очередь. Участок Жлобин—Калинковичи». The Chinese project title is 日洛宾到卡琳科维奇四段铁路电气化改造项目. 2. This China Eximbank loan is not included in the China’s Overseas Development Finance Dataset that Boston University's Global Development Policy Center published in December 2020. 3. China Eximbank also financed Phase 1 (see Record ID#66722), Phase 2 (see Record ID#66727), and Phase 4 (see Record ID#46387). 4. Arzinger Law Offices advised Belarusian Railway regarding the loan and account pledge agreements with the Export-Import Bank of China. See https://ceelegalmatters.com/Magazines/ISSUE_CEELM_8.4_free.pdf