China Eximbank provides RMB 317 million government concessional loan for E-Government Project
Commitment amount
$ 65075054.05
Constant 2017 USD
Summary
Funding agency [Type]
Export-Import Bank of China [State-owned Policy Bank]
Recipient
Kenya
Sector
Government and civil society (Code: 150)
Flow type
Loan
Concessional
Yes
Category
Project lifecycle
Description
In November 2006, the Chinese government signed an agreement in which it agreed in principle to finance the Government of Kenya's E-Government Project at an estimated cost of $42 million. Then, in 2007, China Eximbank and the Government of Kenya signed a government concessional loan agreement ['CHINA EXIMBANK No GCL 2007(47)(218) - 2007017' in Kenya's 2012 External Debt Report] worth RMB 317,000,000.00 for the E-Government Project. The loan was provided on the following terms: 2% interest rate, 20 year maturity, and 8 year grace period. The loan was schedule for repayment between 21.09.2015 to 21.03.2028. The purpose of the project was to build a secure network for Kenyan e-Government activities called the Kenyan Government Unified Messaging System (GUMS) Project and thereby address disparities in technology that lead to less efficient electronic communication among Kenyan government officials. It also involved the provision of software and computer-based security, and the construction a two-story complex to house the Kenyan Government's network files. Other objectives included: improving efficiency in internal government communication and enhance collaboration among officers through implementation of an Electronic Messaging and Collaboration System and a Unified Communications System; improving the management of human resources information by deploying a centralized and integrated Human Resources Management System; and increasing access to information technologies in both the central and county offices by providing access devices including desktop computers, laptops and printers. This project entered implementation in 2008. According to Kenyan Treasury's external debt register and the e-ProMIS, disbursements of this loan continued to take place between 2010 and 2015. ZTE is reported to have been involved in building the infrastructure.
Number of official sources
4
Number of unofficial sources
5
Details
Cofinanced
No
Receiving agencies [Type]
Government of Kenya [Government Agency]
Implementing agencies [Type]
Kenyan Directorate of e-government [Government Agency]; ZTE Corporation [State-owned Company]
Loan type
Concessional
Maturity
20 years
Interest rate
2.0%
Grace period
8 years
Grant element
57.3155951%
Gurarantee provided
No
Insurance provided
No