[Sino-Congolese Programme] China Eximbank provides $26.8 million loan for Phase 2 of Kalemie Road Rehabilitation and Modernization Project (Linked to Project ID#450, #59214)

In 2008, China Eximbank issued a $3 billion line of credit to Sino–Congolais des Mines (Sicomines SARL) — a joint venture — to finance infrastructure projects in the DRC (see Project ID#450). All borrowings through this line of credit (framework agreement) are repaid with revenues from mining projects managed by Sicomines SARL. Each subsidiary loan issued through the line of credit carries a maturity of 25 years, a grace period of 10 years, and an interest rate of 6-month LIBOR plus a 1% margin (or 3.839% at the time of the agreement). The infrastructure projects that are supported by this line of credit are collectively referred to as the ‘Sino-Congolese Programme’. The Government of Democratic Republic of Congo issued a sovereign guarantee for all infrastructure loans approved through the ‘Sino-Congolese Programme’ line of credit. One of the subsidiary loans issued as part of the 'Sino-Congolese Programme' was a $26,871,393.78 loan for Phase 2 of the Kalemie Road Rehabilitation and Modernization Project. The loan ultimately achieved a disbursement rate of 95% ($25,523,658.51 out of $26,871,393.78). Phase 2 involves the rehabilitation and modernization of roads in Kalemie (including Lumumba Boulevard) in Tanganyika Province — specifically, the PK4 + 600 to PK12 + 167 stretch of road. CREC 7, CREC 8, and CREC 9 — subsidiaries of China Railway Engineering Corporation (CREC) — and Société d'Infrastructures Sino-Congolaises (SISC) SA were the contractors responsible for implementation for both phases. They were awarded a $26,871,393.78 contract (ID#AACGT/DG/004/2018) on August 17, 2015. Phase 2 commenced on June 1, 2018. On October 27, 2020, the Kalemie Road Rehabilitation Project was completed.

Additional details

1. The French project title is Projet de Réhabilitation et de Modernisation de la Voirie de Kalemie or Rehabiliation et Modernization de la voirie de Kalemie (Phase 2). 2. Phase 1, which was also financed by China Eximbank, is captured via Project ID#59214.

Number of official sources

9

Number of total sources

13