Overview

China Development Bank provides a $5 million USD loan to the Development Bank of Jamaica for on-lending purposes

Commitments (Constant USD, 2023)$5,682,486

Commitment Year•2011Country of Activity•JamaicaDirect Recipient Country of Incorporation•JamaicaSector•Banking And Financial ServicesFlow Type•Loan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date: Jan 1, 2011

Last repayment (originally scheduled): Dec 31, 2015

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

China Development Bank (CDB)

Receiving agencies

State-owned Banks

Development Bank of Jamaica Limited (DBJ)

Implementing agencies

State-owned Banks

Development Bank of Jamaica Limited (DBJ)

Loan description

China Development Bank provides a $5 million USD loan to the Development Bank of Jamaica for on-lending purposes

Grant element•11.4517%Interest rate (t₀)•4.25594%Interest type•Variable Interest RateLoan tenor•6-month rateMaturity•5 years

Narrative

Full Description

Project narrative

In 2011, China Development Bank (CDB) and the Development Bank of Jamaica (DBJ) signed a $5 million loan agreement for on-lending to projects that involved the purchase of goods and services from China. The loan carried the following terms: a maturity period of 5 years and an interest rate of 6-month LIBOR plus 380 basis points. This loan was repaid in full by December 2014.

Staff comments

1. This CDB loan is not included in the China-Latin America Finance Database, which is co-produced by the Inter-American Dialogue and Boston University’s Global Development Policy Center. 2. The Development Bank of Jamaica is a corporation wholly owned by the Government of Jamaica and is mandated to foster economic growth and development of strategic sectors of the Jamaican economy. 3. The 6-Month LIBOR rate is not identified in any of the underlying sources, so AidData used the average 6-Month LIBOR rate from 2011 (0.507%) to calculate the effective, all-in interest rate (0.507% + 3.800% = 4.307%).