CDB provides $4.9 million loan for Osh-Irkeshtam Fiber Optic Network Construction Project (Linked to Project ID#70878, #70884, #70886, and #70889)

On February 17, 2011, China Development Bank (CDB) signed a $4,964,729.28 loan agreement with KyrgyzTelecom. This loan was intended to used for the Osh Irkeshtam Fiber Optic Network Construction Project. The loan carried the following borrowing terms: a 6-year maturity, a grace period of 1.5 years, and an interest rate of 6 month LIBOR plus a 1.8% margin. Its principal amount outstanding was $1,240,805.40 as of January 1, 2016.

Additional details

1. Average 6 month LIBOR in 2011 was .464%. Therefore, the all-in interest rate was coded as .464% + 1.8%, or 2.264%. 2. Project status was coded as completion because all Chinese financing was disbursed. 3. The Russian project title is Проект «Цифровое будущее. Фаза «Региональные сети» «Строительство ВОЛС «Ош – Иркештам» (see pg.17 of "KyrgyzTelecom Financial Report 2015"). 4. According to KyrgyzTelecom Financial Report 2011, the $4,964,729.28 loan agreement signed on February 17, 2011 had a maturity of 12 years, a grace period of 1.5 years, and an interest rate of 6 month LIBOR + 1.8%. Only $4,963,221.45 had been received by December 31, 2011, however it reported an exchange rate difference profit of KGS 2,491,428,72 (see pg.35-36 of "KyrgyzTelecom Financial Report 2011"). According to KyrgyzTelecom Financial Report 2012, the $4,964,729.28 loan signed on February 17, 2011 had a maturity of 12 years, a grace period of 1.5 years, and an interest rate of 6 month LIBOR + 1.8%. $4,963,221.45 had been actually received. It reported an exchange rate difference loss of KGS 181,141.83 (see pg.22-23 of "KyrgyzTelecom Financial Report 2012"). However, according to KyrgyzTelecom Financial Report 2015, the $4,964,729.28 loan had a maturity of 6 years, a grace period of 0.5 years. 5. This project is linked to a $8.7 million CDB loan to KyrgyzTelecom in September 2009 for this project (see linked project ID#70878), a $4 million CDB loan to KyrgyzTelecom in June 2011 (see linked project ID#70884), a $2 million CDB loan to KyrgyzTelecom in September 2012 (see linked project ID#70886), and a $2.2 million CDB loan to KyrgyzTelecom in October 2012 (see linked project ID#70889).

Number of official sources

3

Number of total sources

3