China Eximbank provides RMB 390.1 million government concessional loan for 64.2 km Golondrinas-Saguangal Highway Rehabilitation Project (Linked to Project ID#69246)

On November 4, 2019, China Eximbank and the Government of Ecuador signed an RMB 390,179,210 ($60,384,134) government concessional loan (GCL) agreement [CHINA EXIMBANK GCL No 2019 (15) Total No. 686 Serial No. 1420303022019113452] for the 64.2 km Golondrinas-Saguangal Highway Rehabilitation Project. The GCL carries the following borrowing terms: a 2% interest rate and a 20 year maturity. The borrower was expected to use the proceeds of the loan to finance a $59,061,587.07 commercial contract [PRF2A-MFTOP-2018] between Ecuador’s Ministry of Transport and Public Works (Ministerio de Transporte y Obras Públicas or MTOP) and China Civil Engineering Construction Corporation (CCECC). The loan’s (principal) outstanding amount was $33,266,861.31 as of December 31, 2021 and $33,436,099.23 as of November 30, 2022. The purpose of this project is to rehabilitate the 64.2 km Golondrinas-Saguangal (RVE E29) Highway and thereby connect the provinces of Imbabura and Esmeraldas. The highway will be two lanes, paved, and 15 meters wide. It will primarily run through Cotacachi (Santa Ana de Cotacachi) county and it will include a pedestrian crossing in Cielo Verde and support 10 bridges (including Manduriyacu Chico, Río Verde, Cielo Verde, Natividad, and Naranjal). China Civil Engineering Construction Corporation (CCECC) is the contractor responsible for implementation. Construction commenced in December 2019. By December 2021, the project has achieved a 45% completion rate. The project was originally expected to reach completion in 2022.

Additional details

1. One source identifies the commitment date of the loan as April 11, 2019 rather than November 4, 2019. This issue warrants further investigation. 2. This project is also known as the Phase 2 (Group A) of the Transportation Infrastructure Rehabilitation Project and Group A of the Transportation Infrastructure Reconstruction Project Phase II. 3. Phase 1 of the Transportation Infrastructure Reconstruction Project is captured via Project ID#59055. Phase 2 (Group B) of the Transportation Infrastructure Rehabilitation Project is captured via Project ID#69246. 4. The Spanish project title is El Proyecto de Reconstrucción de la Infraestructura del Transporte – Fase 2 – Grupo A or FASE II, VARIOS: RECTIFICACIÓN VÍA TRAMO LAS GOLONDRINAS or El Proyecto de Reconstrucción de la Infraestructura del Transporte – Fase 2 — Grupo A Carretera Golondrinas – Saguangal or la Apertura, Rehabilitación, Rectificación y Mejoramiento de la vía RVE E29 Las Golondrinas – Saguangal de 64,2 Km de longitud, ubicada en la provincia de Imbabura. The Chinese project title is 灾后重建交通基础设施二期A组项目. 5. This China Eximbank loan is not captured in the China-Latin America Finance Database maintained by Boston University and Inter-American Dialogue. Nor is it included it in the China’s Overseas Development Finance Dataset maintained by Boston University's Global Development Policy Center. 6. The Ecuadorian Ministry of Finance loan identification number is 23201000.

Number of official sources

28

Number of total sources

31