Bank of China loans Transnet ZAR 1.5 billion for interest rate swap
Commitment amount
$ 101653853.37263946
Adjusted commitment amount
$ 101653853.37
Constant 2021 USD
Summary
Funding agency [Type]
Bank of China (BOC) [State-owned Commercial Bank]
Recipient
South Africa
Sector
Business and other services (Code: 250)
Flow type
Loan
Level of public liability
Other public sector debt
Infrastructure
No
Category
Project lifecycle
Description
According to the annual Financial Statement of Transnet in 2020, as of March 31, 2020, South African state-owned transportation company Transnet was party to an interest rate swap contract for ZAR 1.5 billion with the Bank of China. The hedge interest rate payable by Transnet is 12.27%. The receivable interest rate is 3-month JIBAR (Johannesburg Interbank Average Rate) plus 2.7%. The maturity date for this transaction is December 2, 2030. The transaction was part of Transnet's Second Defined Benefit Fund for employee pensions.
Additional details
1. Transnet participated in two interest rate swaps with the Bank of China in 2020. The first project is captured in project ID#93687 and has a payable rate of 11.83% and a receivable rate of JIBAR + 2.7%. This is a separate project with a payable rate of 12.27% and a receivable rate of JIBAR + 2.7%.
Number of official sources
1
Number of total sources
1
Details
Cofinanced
No
Direct receiving agencies [Type]
Transnet [State-owned Company]
Loan Details
Maturity
10 years
Interest rate
12.27%
Grant element (OECD Grant-Equiv)
0.0%