Active Development AidData Chinese Aid

Chinese Government provides $3 million interest-free loan — via ETCA — for unspecified purposes

$3M USD

Funder	China Ministry of Commerce
Recipient Organization	Government of Algeria
Country	Algeria
Start Date	Jan 05, 2002
End Date	Sep 03, 2033
Duration	11,564 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`332`

Grant Description

Chinese Government provides $3 million interest-free loan — via ETCA — for unspecified purposes On January 15, 2002, the Chinese and Algerian governments signed an Economic and Technical Cooperation Agreement (ETCA), which committed a $3 million interest-free loan for unspecified purposes.

The agreement was signed by the Secretary-General of the Algerian Foreign Ministry, Mr Abdelaziz Djerrad, and the Chinese vice-minister at the Ministry of Foreign Trade and Economic Cooperation, Zhou Keren.

📋 Staff Comments

This is coded as an umbrella project and line of credit because all know information from this project indicates that this project is an interest-free line of credit extended under an ETCA. Since loan terms for the interest-free loan are unavailable, AidData has set maturity period to 20-years by default and grace period to 10-years by default per China's Foreign Assistance White Paper (http://www.cidca.gov.cn/2018-08/06/c_129925064_3.htm) which states that the maturity period of interest-free loans is 20-years, with a drawdown period of 5-years, grace period of 5-years, and repayment over 10-years. AidData treats the drawdown period as providing 5-years of additional grace.

📚 Sources & References

--Algeria gets 3m-dollar loan from China.
ChinaLoansToAfrica©SAIS-CARI.csv
Understanding the Significance of China’s Interest-Free Loans Cancelation 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.