Bank of China provides CFA 73.9 billion loan for Phase 2 of Ministry of Interior and Security Unified Communication System Project (Linked to Project ID#89413 and ID#92201)

On April 24, 2020, Bank of China and the Government of Côte d'Ivoire signed a CFA 73,931,502,506.49 loan agreement for Phase 2 of the Ministry of Interior and Security Unified Communication System Project. The borrowing terms of the loan are unknown. However, it is known that the borrower was expected to use the proceeds of the loan to finance an EUR 124 million commercial contract between Côte d'Ivoire’s Ministry of Interior and Security and China Railway Construction International Group, which was signed in December 2019. According to the Government of Côte d'Ivoire’s Aid Management Platform (AMP), the Bank of China loan had achieved a 75% disbursement rate (CFA 55,335,025,216 out of CFA 73,931,502,506.49) as of December 31, 2022. Bank of China made four loan disbursements worth CFA 55,335,025,216 in 2021 and 2022: a CFA 15,297,225,415 disbursement on December 31, 2021, a CFA 23,445,307,879 disbursement as of January 31, 2022, a CFA 9,095,717,527 disbursement as of October 31, 2022, and a CFA 7,496,774,395 disbursement as of December 31, 2022. Phase 2 involves the construction of a national emergency command center (with 2 floors and a total of 1,000 square meters) for the police, military, and fire department as well as the installation of video surveillance towers in 46 locations within 22 cities. Phase 2 also involves the construction of integrated military IT network, the unification and modernization of communication and command systems within the Ministry of Interior and Security. China Railway Construction International Group is the contractor responsible for implementation. Phase 2 work commenced in late 2021/early 2022. Phase 2 was originally expected to reach completion on December 31, 2022.

Additional details

1. The French project title is Projet d'implantation d'un système de défense_ Phase II. The Chinese project title is 国防部统一通讯二期工程项目 or 署的科特迪瓦国防部统一通讯二期工程项目. 2. The AMP system identification number for the Bank of China loan is 1120071335705. The AMP also suggests that ICBC may have co-financed the loan. This issue merits further investigation. 3. This Bank of China loan is not included in the Chinese Loans to Africa (CLA) database that is managed by the Global Development Policy Center at Boston University and SAIS-CARI. 4. Bank of China also financed Phase 1 of the Ministry of Interior and Security Unified Communication System Project (as captured via Project ID#89415 and Project ID#92201). 5. In December 2019, Côte d'Ivoire’s Ministry of Interior and Security and China Railway Construction International Group reportedly signed a EUR 124 million EPC+F contract for Phase 2 of the Ministry of Interior and Security Unified Communication System Project. One source suggests that Côte d'Ivoire’s Ministry of Defense was responsible for 15% of the cost of an EPC+F contract and China Railway Construction International Group was responsible for obtaining a commercial loan for financing the remaining 85% of the project cost (backed by a sovereign guarantee from the Government of Côte d'Ivoire). However, the source does not identify the financier responsible for providing a commercial loan to China Railway Construction International Group (backed by a sovereign guarantee from the Government of Côte d'Ivoire) is unknown. This issue merits further investigation. 6. The precise project implementation start date is unknown. For the time being, AidData relies on the first loan disbursement date (December 31, 2021) as a proxy for the project implementation start date. This issue warrants further investigation.

Number of official sources

3

Number of total sources

6