Narrative
Full Description
Project narrative
On April 21, 2012, China Eximbank and and CAMTEL — a state-owned telecommunications and Internet service provider in Cameroon — signed a $31,832,494 loan agreement for an unspecified purpose. The loan carries the following borrowing terms: 20 year maturity, 5 year grace period, and a 2% interest rate. As of December 31, 2020, the loan had achieved a 100% disbursement rate and its outstanding amount was equivalent to CFA 13.2 billion. According to the Government of Cameroon’s Caisse Autonome d'Amortissements, the loan is not backed by a repayment guarantee from the Government of Cameroon.
Staff comments
1. China Eximbank issued a separate $31.832 million buyer’s credit (with different borrowing terms) to CAMTEL for Additional 350,0000 Lines CDMA Project in 2010 for the Additional 350,0000 Lines CDMA Project (captured via Record ID#31230). According to the Government of Cameroon’s Caisse Autonome d'Amortissements, the $31,832,494 buyer’s credit that China Eximbank issued in 2010 is backed by a repayment guarantee from the Government of Cameroon, but the $31,832,494 loan that China Eximbank issued in 2012 is not. 2. The proceeds of the loan were likely used to enable CAMTEL’s acquisition of wireless (CDMA) phone technology and facilitate the installation of CDMA lines. However, this issue requires further investigation. 3. The $31,832,494 loan that China Eximbank issued to CAMTEL in 2012 is not included in the database of Chinese loan commitments that SAIS-CARI released in July 2020. Nor is it included it in the China’s Overseas Development Finance Dataset that Boston University's Global Development Policy Center published in December 2020.