China Development Bank provides $83.3 million loan for High Voltage Electrical Network Expansion and Maintenance Project (Linked to Project ID#62258)

On January 22, 2019, the Hubei Branch of China Development Bank (CDB) and the Government of Equatorial Guinea signed an EUR 200 million sovereign credit cooperation agreement (captured via Project ID#62258). Borrowings under this framework agreement are earmarked for electricity infrastructure construction activities and carry an interest rate of 6-month EURIBOR plus a 3.5% margin. The Vice President of the Hubei Branch of China Development Bank and the Equatorial Guinea’s Finance Minister signed the sovereign credit cooperation agreement. CDB subsequently approved a $83,317,844.25 loan for the High Voltage Electrical Network Expansion and Maintenance Project (captured via Project ID#87017). According to Caja Autónoma de Amortización de la Deuda Pública within Equatorial Guinea’s Ministry of Finance and Budget, this loan had fully disbursed as of December 31, 2019 but the borrower had not made any principal or interest repayments as of December 31, 2019. Caja Autónoma de Amortización de la Deuda Pública later reported the CDB made an additional disbursement for the High Voltage Electrical Network Expansion and Maintenance Project worth $19,501,799.09 on June 10, 2022. The purpose of the project is to expand and maintain the high-voltage electrical network in Equatorial Guinea's Continental Region.

Additional details

1. The Spanish project title is Red Eléctrica Alta Tensión Ampliacion y Mantenimiento Proyecto or Proyecto de Ampliación, Operación y Mantenimiento de la Red Eléctrica de Alta Tensión de la Región Continental, or ampliacion, mant, red elect alta tension. 2. The face value of the loan is drawn from ‘Cuadro General de la deuda al 31/12/2019’ from the Caja Autónoma de Amortización de la Deuda Pública within Equatorial Guinea’s Ministry of Finance and Budget. 3. The interest rate field is coded based on the following official source: https://www.dropbox.com/s/uvs8rioaee9gl0u/Primer-Semestre-2022.pdf?dl=0. AidData has estimated the all-in interest rate (3.264%) by adding 3.5% to average 6-month EURIBOR in January 2019 (-0.236%).

Number of official sources

8

Number of total sources

9