China Development Bank guarantees continued financial support to Angola

15 February 2017

The China Development Bank (CDB) will continue to support Angola financially, “thus contributing to the socio-economic development process of the country,” the CDB’s chief executive said in Luanda on Tuesday.

Zheng Zhijie on Tuesday in Luanda visited a number of construction projects financed by the bank, the first of which was the Marçali Water Distribution Centre, which is being recovered at a cost of US$68.5 million.

The China Development Bank is financing a total of 35 projects in Angola, worth US$1.5 billion, according to the Minister of Finance, Archer Mangueira, who added that another 25 projects would be launched by the end of February.

Mangueira, who met with the CDB delegation on Monday after Zheng Zhijie was received by the President of Angola, said that the funding provided by the China Development Bank accounts for 46% of the total loans granted by Chinese banks to Angola.

A statement issued by the Ministry of Finance said the CDB hads been one of the main vehicles of financial cooperation between Angola and China, has funded the construction and/or reconstruction of various infrastructures, notably the Moçâmedes Railroad and construction of the Sambizanga (formerly Roque Santeiro) market.

The list of works financed by the CDB include the construction of the Boavista-Miramar-São Paulo road, electrification and household connections in Luanda, as well as the construction of access roads to the new Luanda Airport.

The Finance Minister said that the meeting with the Chinese delegation served to assess the status of ongoing contracts financed by the bank and projects approved recently and to implement programmes currently being assessed by the bank.

Mangueira said the forms of payment of the China Development Bank loan are set out in the framework agreement for additional financing, which are executed in return for Angolan oil, not specifically for this bank, but for the overall agreement reached with the People’s Republic of China.

This was the first visit by the CEO of the China Development Bank to Angola after providing a loan of US$2.5 billion, which is expected to be repeated relatively frequently, according to Angola news agency Angop, following visits by members of the Angolan government in October and November 2016, to the People’s Republic of China. (macauhub)