Active Development AidData Chinese Aid

CDB pledges EUR 200 million — via sovereign credit cooperation agreement — for electricity infrastructure construction activities (Record ID#87017, 87016)

€200M EUR

Funder	China Development Bank (CDB)
Recipient Organization	Equatorial Guinea Ministry of Finance
Country	Equatorial Guinea
Start Date	Jan 22, 2019
End Date	Oct 13, 2032
Duration	5,013 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`62258`

Grant Description

CDB pledges EUR 200 million — via sovereign credit cooperation agreement — for electricity infrastructure construction activities (Record ID#87017, 87016) On January 22, 2019, the Hubei Branch of China Development Bank (CDB) and the Government of Equatorial Guinea signed an EUR 200 sovereign credit cooperation agreement (captured via Record ID#62258).

📋 Loan / Grant Terms

📅 Maturity10 years

⏳ Grace Period3 years

The Vice President of the Hubei Branch of China Development Bank and the Equatorial Guinea’s Finance Minister signed the sovereign credit cooperation agreement.

CDB subsequently approved a loan for the High Voltage Electrical Network Expansion and Maintenance Project (captured via Record ID#87017), a loan for the 110kv Akpoga (Aboga) Electricity Infrastructure Project (captured via Record ID#87016), and the Malabo Turbogas Plant Expansion Project (captured via Record ID#97774).

📋 Staff Comments

China’s Economic and Commercial Counselor in Equatorial Guinea attended the signing ceremony and said that the sovereign credit cooperation agreement marked ‘the first time that China Development Bank's financing business has entered the Equatorial Guinea market.
The three projects financed through the EUR 200 million borrowing arrangement with CDB are known in Spanish as (1) Ampliación, operación y mantenimiento de la Red Eléctrica de alta tensión de la Región Continental, (2) Ampliacion de la Planta Turbogas de Malabo, and (3) Subestación y línea de 110 KW para la fábrica de cemento de Akoga. See https://www.dropbox.com/scl/fi/jzjhuqmdhj2nw5nx9e3q9/Ministry-of-Finance-of-Equatorial-Guinea-s-2019-Borrowing-Plan.xlsx?rlkey=95ur5tge8j1r1wljzxds9wuch&dl=03. For loan and debt rescheduling records with variable interest rates, AidData calculates the all-in interest rate at T0 based on the reference rate (such as LIBOR or EURIBOR) on the loan start date, plus any known margin. Please see the methodology for additional details.

📚 Sources & References

中国国家开发银行与赤道几内亚财政部签署主权授信协议, 2019年中赤几关系十大亮点, 2019年中赤几关系十大亮点
Ministry of Finance of Equatorial Guinea's 2019 Borrowing Plan
Notas_explicativas_CCADP_Estados_financieros_2019_003_Copy 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.