Overview

China Development Bank provides EUR 19 million loan to the Investment and Development Fund of Montenegro

Commitments (Constant USD, 2023)$22,558,944

Commitment Year•2018Country of Activity•MontenegroDirect Recipient Country of Incorporation•MontenegroSector•Business And Other ServicesFlow Type•Loan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date: Jul 7, 2018

Last repayment (originally scheduled): Jul 6, 2021

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

State-owned Policy Banks

China Development Bank (CDB)

Receiving agencies

State-owned companies

Investment and Development Fund of Montenegro (IDF MN)

Loan description

China Development Bank provides EUR 19 million loan to the Investment and Development Fund of Montenegro

Grant element•9.7491%Interest rate (t₀)•2.4%Interest type•Fixed Interest RateMaturity•3 years

Narrative

Full Description

Project narrative

On July 7, 2018, China Development Bank (CDB) signed a loan agreement with the Montenegro Investment and Development Fund (IDF MN). The loan is a three year loan for EUR 19 million, and the interest rate is 2.1 percentage points plus the Euro Interbank Offered Rate. The loan is intended to support the IDF MN's business development and marks the first business cooperation between China Development Bank and Montenegro. The signing of this loan agreement is a part of the 2 billion Euro-equivalent development finance cooperation loan project announced by Premier Li Keqiang in November 2017, which will aid in development of the 16+1 relationship between China and the Central and Eastern European Union.

Staff comments

1. The Chinese name for the 2 billion EUR developmental loan project to Central and Eastern European Union countries is 中国—中东欧银联体20亿等值欧元开发性金融合作贷款. 2. Since the signing of this loan, Greece has joined China and Central and Eastern European Union, now known as the 17+1 cooperation.