Active Mixed AidData Chinese Aid

China Eximbank provides $150 million buyer's credit loan for Railroad Rehabilitation Project

$150M USD

Funder	Export-Import Bank of China (China Eximbank)
Recipient Organization	Government of Venezuela
Country	Venezuela
Start Date	Dec 15, 2003
End Date	Oct 06, 2030
Duration	9,792 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`35847`

Grant Description

China Eximbank provides $150 million buyer's credit loan for Railroad Rehabilitation Project On December 15, 2003, China Eximbank signed a buyer's credit loan agreement with the Government of Venezuela's Finance Minister for a Railroad Rehabilitation Project.

The total cost of the project was $188,490,000, and China Eximbank agreed to cover 80% of the total cost (or approximately $150,000,000).

This project involved the rehabilitation of two railway segments: Cabello-Barquisimeto (137 km in length) and Yaritagua-Acarigua (67 km in length). Yankuang Group was the contractor responsible for implementation. Project implementation began on May 15, 2004.

However, multiple reports from 2007 indicate that the project experienced implementation delays because of slow payments from Venezuela's state railway autonomous institute.

The Venezuelan high-speed railway project has almost been abandoned with the construction site being overgrown with weeds. Due to Venezuela's inability to pay off its debts, many Chinese adminstrators withdrew.

📋 Staff Comments

The project is also called the 'Railroad System Rehabilitation Project of Venezuela'. The Chinese project title is 委内瑞拉铁路改造项目. The Spanish project title El Plan Ferroviario Nacional'.
This project is also associated with the 'Complementary Accord of the Economic and Technical Agreement for the Rehabilitation of the Midwestern Railway System'.

📚 Sources & References

PRC's Yenkuang In $200M Venezuela Railroad Deal - Report
China firma acuerdos para invertir en Venezuela.
China loans Venezuela $150 million to modernize railroad
Venezuela
Eximbank of China ink accord to finance railway system
China blames Venezuelan government for delay in railroad
China blames Iafe for delay in RR rehab project
查韦斯总统出席我承包委铁路工程动工仪式
拉美公司
兖矿国际化的前世今生
中委铁路改造项目贷款协议在委签署
Upgrading loan
Test running on Venezuelan line to start this month
The lessons of Chinese companies 'going out' are far more than the unfinished end of Venezuela's high-speed rail Loan applications and disbursements are still being received and processed as the projects continue to evolve. Ongoing monitoring and evaluation are in place to ensure project continuity.

All Grantees

Government of Venezuela

Interested in applying for this grant?

Complete our application form to express your interest and we'll guide you through the process.

Apply for This Grant