Active Development AidData Chinese Aid

Chinese government grants 30 million RMB through February 2009 Economic and Technical Cooperation Agreement (Linked to Record ID#59325 and #88174)

¥30M RMB

Funder	China Ministry of Commerce
Recipient Organization	Government of Ecuador
Country	Ecuador
Start Date	Feb 13, 2009
End Date	Oct 13, 2027
Duration	6,816 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`35851`

Grant Description

On February 13, 2009, representatives of the governments of China and Ecuador signed an Economic and Technical Cooperation Agreement (ETCA) that provided a 30 million RMB (about 4.3 million USD) grant to the government of Ecuador for projects unspecified at the time the agreement was signed.

Some portion of the grant was originally committed to be used for the Puyo Hospital construction project in Letters of Exchange signed by the two governments on September 9, 2009.

However, the project was ultimately cancelled on August 3, 2011, and no funds granted in this ETCA were used (see Record ID#88174).

On July 27, 2016, the two governments signed Letters of Exchange committing funds from this ETCA, in addition to several other ETCAs, to be used for the project "Donation of Equipment for the Strengthening of the Integrated Security Service ECU 911 in the Coastal and Rural Areas" ("Dotación de Equipamiento para el Fortalecimiento del Servicio Integrado de Seguridad ECU-911 en el Litoral y Areas Rurales," see #59325).

The equipment and related costs were worth 97 million RMB total, though it is unknown what amount of the project cost was covered by this ETCA grant, and how much was covered by the other grants. Banking procedures were handled by the Central Bank of Ecuador (Banco Central del Ecuador) and China Development Bank.

This was one of several cooperation agreements signed on the same visit.

Additionally, a loan was pledged for the completion of the Quitumbe Bus Terminal ($18 million) in Quito (Record ID#35867), a handover agreement for medical supplies was signed (see #88221) and a $7.3 million credit line (Record ID#35866) to boost agricultural trade and production.

📋 Staff Comments

This ETCA has been coded separately as an umbrella project because, although there is a high likelihood that the funds went entirely to the ECU-911 project. The total amount provided in all five ETCAs that funded the ECU-911 project exceeds the project cost, even when accounting for the fact that some of these ETCAs funded additional projects.In total, the five ETCAs provided 120 million RMB. At least 6.35 million RMB (from the ETCA signed in September 2012) would have gone to #69468 (see comments on that project for more details). The ETCA signed October 2013 was similarly used for both the ECU-911 project and a grant of computers from 2017 (see #59708), though anywhere from 3.35 million RMB to almost the full 20 million RMB could have been used for the ECU-911 project.This indicates a total of about 113.65 million RMB was available to be used for the ECU-911 project (compared to a project cost of 97 million RMB), and that (an) additional sub-project(s) that have not been accounted for were potentially funded by one or more of the five ETCAs that funded it. It is also very possible no additional sub-projects exist, but given the lack of evidence, this umbrella project has been created.This project should not be confused with #88169, which captures a credit line provided through an ETCA signed the same day, or #35844, which captures a grant from and ETCA also signed in 2009, but on November 24, not in February.

📚 Sources & References

China dará a Ecuador crédito sin intereses
China dará a Ecuador crédito sin intereses por 20 millones de dólares
China signs cooperation agreements with Ecuador
CONVENIO DE COOPERACIÓN ECONÓMICA Y TÉCNICA ENTRE EL GOBIERNO DE LA REPÚBLICA DEL ECUADOR Y EL GOBIERNO DE LA REPÚBLICA POPULAR CHINA
Letters of Exchange Nota Nro. MREMH-GM-2016-18878 and N.O.2016 (001)
Letters of Exchange N° 45674/GM/SRB/DGAAO and N.O.N.(2009) 009 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.