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Overview

Chinese Government provides PGK 8 million interest-free loan for Port Moresby International Convention Center Construction Project (Linked to Record ID#64131, #64130)

Commitments (Constant USD, 2023)$3,809,872
Commitment Year2010Country of ActivityPapua New GuineaDirect Recipient Country of IncorporationPapua New GuineaSectorOther Social Infrastructure And ServicesFlow TypeLoan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Jan 1, 2010
Start (actual)
Nov 6, 2012
End (actual)
Sep 26, 2016
First repayment (originally scheduled)
Dec 30, 2019
Last repayment (originally scheduled)
Dec 27, 2029

Geospatial footprint

Map overview

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This project involved the construction of a 10,000 square meter convention center in a suburb of Port Moresby called Waigani — next to the Parliament House — on a project site that is spread out over 3.35 hectares. It involved the construction of a 700-seat main conference hall; a 50-seat conference hall; 2 x 137-seat medium conference halls, 6 x 25-seat small conference rooms; a ministerial office and other administrative offices; a one 400-person capacity multi-purpose hall; a dining room and kitchen; a service road; guard houses; and a car park. More detailed locational information can be found at https://www.openstreetmap.org/way/781290023.

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

Government Agencies

  • China Ministry of Commerce

Receiving agencies

Government Agencies

  • Government of Papua New Guinea

Implementing agencies

State-owned companies

  • China IPPR International Engineering Co., Ltd.
  • China Jiangxi International Economic and Technical Cooperation Co., Ltd. (CJIC)

Loan description

Chinese Government provides PGK 8 million interest-free loan for Port Moresby International Convention Center Construction Project

Grace period10 yearsGrant element75.0516%Interest rate (t₀)0%Interest typeFixed Interest RateMaturity20 years

Narrative

Full Description

Project narrative

Between 2007 and 2010, the Chinese Government provided approximately $20.2 million (PGK 63,509,000) of grant funding (captured via Record ID#64130) to the Government of Papua New Guinea for the Port Moresby International Convention Center Construction Project. The grant proceeds were drawn from six different Economic and Technical Cooperation Agreement (ETCAs) that the two governments signed on March 20, 2007, September 6, 2008, April 15, 2009, November 4, 2009, December 16, 2010, and December 23, 2010. Additionally, on December 23, 2010, the Chinese Government and the Government of Papua New Guinea signed an Economic and Technical Cooperation Agreement (ETCA), which committed a PGK 8 million interest-free loan (captured via Record ID#73611) for the Port Moresby International Convention Center Construction Project. The purpose of the project was to construct a 10,000 square meter convention center in a suburb of Port Moresby called Waigani — next to the Parliament House — on a project site that is spread out over 3.35 hectares. It involved the construction of a 700-seat main conference hall; a 50-seat conference hall; 2 x 137-seat medium conference halls, 6 x 25-seat small conference rooms; a ministerial office and other administrative offices; a one 400-person capacity multi-purpose hall; a dining room and kitchen; a service road; guard houses; and a carpark. China IPPR International Engineering Co., Ltd (中国中元国际工程有限公司), a subsidiary of Sinomach, and China Jiangxi Corporation for International Economic & Technical Cooperation (CJIC) were the contractors responsible for project design and implementation. A project feasibility study and market survey was conducted between August 25, 2010 and September 20, 2010. Then, a formal groundbreaking ceremony took place on November 6, 2012. The project was originally expected to be complete in 2015 in time for the South Pacific Games. However, the project encountered various obstacles and delays. Construction was temporarily halted in July 2013 following attacks on Chinese workers. The project passed a final MOFCOM inspection on December 17, 2015. A grand launching ceremony for the convention center took place on September 27, 2016.

Staff comments

This project is also known as the Waigani Convention Center Project, the the Waigani Convention Centre Project, or the International Conference Center (ICC) Construction Project. The Chinese project title is 巴布亚新几内亚国际会议中心 or 巴新国际会议中心项目 or 承建的援巴布亚新几内亚国际会议中心项目. The ICC was later refurbished with a Chinese Government grant (worth 20 million Kina) and handed over the local authorities on April 11, 2018, in time to host the 2018 APEC meetings. This grant is captured by Record ID#64131. Since loan terms for the interest-free loan are unavailable, AidData has set maturity period to 20 years by default and grace period to 10 years by default per China's Foreign Assistance White Paper (http://www.cidca.gov.cn/2018-08/06/c_129925064_3.htm) which states that the maturity period of interest-free loans is 20 years, with a drawdown period of 5 years, grace period of 5 years, and repayment over 10 years. AidData treats the drawdown period as providing 5 years of additional grace.