China Eximbank provides RMB 396.9 million government concessional loan for 61.23 km Agboville-Rubino-Céchi Road Asphalting Project (Linked to Record ID#71375)

Project narrative

On September 29, 2017, the Chinese Ambassador and the Foreign Minister of Cote d'Ivoire signed a preferential loan framework agreement for the 71.5 km Odiénné-Gbéléban Road Asphalting Project and the 61.23 km Agboville-Rubino-Céchi Road Asphalting Project. Then, on November 14, 2017, the Government of Cote d'Ivoire and China Eximbank signed an RMB 810 million (CFA 67,959,283,985) government concessional loan (GCL) agreement [GCL NO. (2017) 18 TOTAL NO. (623)] to support these two road projects. The GCL was ratified by the Ivorian Council of Ministers on December 6, 2017. The borrowing terms of the loan are unknown. According to the Government of Cote d'Ivoire’s Aid Management Platform (AMP), 51% of the loan proceeds (or approximately RMB 413.1 million or CFA 34.65 billion) were used to support the 71.5 km Odiénné-Gbéléban Road Asphalting Project (as captured via Record ID#71377) and 49% of the loan proceeds (or approximately RMB 396.9 million or CFA 33,210,000,000) were used to support the 61.23 km Agboville-Rubino-Céchi Road Asphalting Project (as captured via Record ID#71375). The borrower was expected to use the loan proceeds for the 61.23 km Agboville-Rubino-Céchi Road Asphalting Project to finance 92.5% of the cost of a CFA 35,902,766,613 commercial (EPC) contract between the Ivorian Government’s Ministry of Economic Infrastructure, AGEROUTE, and China Road and Bridge Corporation (CRBC). The Ivorian Government was responsible for directly financing 7.5% of the cost of the commercial contract (CFA 2,692,707,496). According to the Government of Côte d'Ivoire’s Aid Management Platform (AMP), China Eximbank made 6 loan disbursements (worth CFA 30,147,872,464.50) for the 61.23 km Agboville-Rubino-Céchi Road Asphalting Project between 2018 and 2021: a CFA 3,305,288,863 disbursement on May 31, 2018, a CFA 4,465,944,824 disbursement on December 31, 2018, a CFA 6,328,424,860 disbursement on June 30, 2019, a CFA 10,160,538,846.50 disbursement on December 31, 2019, a CFA 1,726,675,071 disbursement on December 31, 2020, and a CFA 4,161,000,000 disbursement on December 31, 2021. The project, which was originally expected to created 100 permanent jobs and 300 temporary jobs, involves the asphalting of a 61.23 km road from Agboville to Cechi via Rubino; the asphalting of a 5.5 km Ananguié ramp; the asphalting of the 3 km Rubino road; and the asphalting of the 3 km Céchi road. The ultimate purpose of the project is to facilitate economic activity between Agboville and Adzopé and the other towns in the center of Ivory Coast (Dimbokro, Yamoussoukro, Bouaké). The 61.23 km Agboville-Rubino-Céchi road is considered by a key link in the development of country’s eastern coast region because it will facilitate the delivery of agricultural products to the local markets of Agboville and Adzopé and other towns (Dimbokro, Yamoussoukro, Bouaké). The road runs parallel to a railway line and constitutes a second mode of transportation for people and goods in the area. CRBC was the EPC contractor responsible for project implementation. The project was formally launched on September 4, 2015. However, project implementation did not commence until April 23, 2016. The project was originally scheduled for completion in April 23, 2018. However, as of October 31, 2017, the project was running 13 months behind schedule. The project had achieved a 34.14% physical completion rate as of October 31, 2017. According to the AMP, by January 6, 2021, the Rubino-Cechi section of the 61.23 km road from Agboville to Cechi was ‘accepted’ by the local authorities; however, a toll station had still not been built. The project was officially opened to traffic on January 5, 2022.