Chinese bank fund construction of dam in Angola

1 December 2016

The Industrial and Commercial Bank of China (ICBC) has granted a loan of US$4.5 billion to Angola to finance the construction of the Caculo Cabaça hydroelectric dam, under a contract signed on Wednesday in Beijing, the Angolan press reported.

Finance Minister Archer Mangueira, who signed the loan contract on behalf of Angola, said the dam’s construction project is considered to be structural and is included in the public investment programme. It is expected to allow exports fo electricity produced on the Kwanza River to Namibia or South Africa.

Mangueira isvisiting China, having already met with the Deputy Minister of Commerce Wang Shouwen, with whom he discussed issues of a bilateral nature and the need to speed up the approval process of projects included in Angola’s development plan that has a credit line from China.

Angolan news agency Angop reported that the concern expressed by the minister was overcome at a meeting with ICBC officials who pledged their total support in the approval process of projects that are part of that development plan.

The Caculo Cabaça hydroelectric dam, located in the Middle Kwanza, will, when completed, have a production capacity of 2,171 megawatts of electricity, which will help achieve the target set by the government to reach 2025 with an installed capacity of 9,000 megawatts.

The project was awarded by the government of Angola to a consortium made up of the China Gezhouba Group Corporation (CGGC) and Niara Holding. (macauhub)