ICBC participates in $120 million syndicated loan for Diesel Multiple Units (DMUs) Acquisition Project (Linked to Record ID#67525)

Project narrative

On April 17, 2018, the Standard Bank of South Africa and the Industrial and Commercial Bank of China (ICBC) signed a $120 million syndicated loan agreement with the Government of Angola’s Ministry of Transport for the Diesel Multiple Units (DMUs) Acquisition Project. The loan carried a 12-year maturity. Its interest rate and grace period are unknown. The loan was backed by a Sinosure credit insurance policy. The borrower was expected to use the loan proceeds to partially finance a $169,370,000 commercial contract (with a 44-month term) between Instituto Nacional de Caminhos de Ferro de Angola (INCFA) — the Angolan railway authority — and CRRC Tangshan Co., Ltd. The purpose of the project was to acquire 10 Diesel Multiple Unit (DMUs) — as well as spare parts, rolling stock, and maintenance and technical support for the 10 DMUs — to support Luanda Railway Line known as Caminho-de-Ferro de Luanda (CFL) that runs between Bungo station and the New International Airport (also known as NAIL) in Luanda. CRRC Tangshan Co., Ltd. was the contractor responsible for project implementation. The first batch of 4 DMUs were shipped to Angola from Tianjin Port on February 10, 2020. Then, on March 10, 2020, a second batch of 3 DMUs was dispatched from Tianjin Port to Lobito Port in Angola. These seven CRRC-made DMUs were put into operation in Angola in February 2022. The final batch of 3 DMUs was shipped to Angola on June 9, 2022.