Mozambique: China’s Eximbank partners ADB to fund infrastructures in Africa

16 May 2008

Maputo, Mozambique, 16 May – Chinese state bank Eximbank and the African Development Bank (ADB) signed a deal Thursday in Maputo to finance infrastructure projects on the African continent.

The agreement, signed on the sidelines of the 43rd annual meeting of the ADB, aims to meet the funding needs for construction of roads, ports, airports and hydroelectric facilities, estimated by the African bank to total between US$30 billion and US$50 billion.

“Given the magnitude of the amount, we need all the partners we can get to take part in this effort and China is becoming a significant partner,” said Thierry de Longuemar, deputy chairman of ADB for finance at the meeting in the Mozambican capital.

This is the second agreement of its kind for the ADB, after one made in 2005 with the Bank of Japan for International Development.

China is currently an ADB shareholder and contributor to the Africa Development Fund.

In the last few years, Eximbank has become involved in projects all over Africa one of the biggest being reconstruction project funding in Angola, via two credit lines worth US$2 billion each. (macauhub)