Belarus, China sign loan agreement
29 October 2008
The Government of Belarus and China EXIM BANK signed an agreement on extending a preferential governmental loan to Belarus. The document was signed by Finance Minister of Belarus Andrei Kharkovets and EXIM BANK Chairman and President Li Ruogu.
The sides signed buyer credit agreements to purchase an all-dry cement production line for Krichevtsementoshifer and to construct the second line at the Belarusian Cement Plant.
According to Andrei Kharkovets, the total sum of the loan agreements is $390 million. The Finance Minister said that “the terms of the contracts are quite comfortable for Belarus.” The loans are given for 10 years with a three-year moratorium on payment. The interest rate is 6.6% p.a. The preferential loan is given for 15 years with a three-year moratorium on payment. The interest rate is 2.5% p.a.
Andrei Kharkovets reminded, the Belarusian side suggested preparing and signing a memorandum of cooperation between China EXIM BANK and the Government of Belarus in order to fulfill the huge cooperation potential of the two countries more efficiently.
On his part Li Ruogu assured that China EXIM BANK will provide assistance to Belarus. The total volume of financial assistance to Belarus is estimated at $800 million. He noted that the economic cooperation between the two countries has been effective and expressed hope for good prospects.