China Development Bank provides RMB 60 million export credit to State Savings Bank of Tajikistan (Amonatbonk) for on-lending to Tajik entrepreneurs

Project narrative

In 2017, China Development Bank (CDB) visited State Savings Bank of Tajikistan (Amonatbonk) to discuss a possible RMB 60 million long-term loan agreement. CDB and Amonatbonk concluded a preliminary agreement at the beginning of 2018. The final agreement was still waiting to be signed as of August 2018. Then, in 2019, China Development Bank and Amonatbonk signed an RMB 60 million preferential export credit agreement. The proceeds of the CDB loan were to be used by Amonatbonk for on-lending to Tajik entrepreneurs at an annual interest rate of 12% with 3-5 year maturities. Some sources also indicate that the CDB loan proceeds were to be used for import substitution and to facilitate the acquisition of Chinese production and technological equipment.