Completed Development AidData Chinese Aid

Chinese Government provides $30 million grant — via ETCA — for Mulungushi International Conference Center (MICC) Construction Project (Linked to Umbrella Record ID#59127)

$30M USD

Funder	China Ministry of Commerce
Recipient Organization	Government of Zambia
Country	Zambia
Start Date	Sep 04, 2018
End Date	Jul 27, 2027
Duration	3,248 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`57297`

Grant Description

On September 4, 2018, at the Forum on China Africa Cooperation (FOCAC) Summit, President Xi Jinping pledged to provide a $30 million grant to the Government of Zambia for the Mulungushi International Conference Center (MICC) Construction Project.

Then, in November 2018, the Chinese Government and the Government of Zambia signed an exchange of notes, which formalized the $30 million grant commitment for the Mulungushi International Conference Center Construction (MICC) Project.

The grant proceeds were drawn (at least in part) from an Economic and Technical Cooperation Agreement (ETCA), which was signed by the parties in June 2017, as captured by Record ID#59127.

The purpose of the project is to build a new 23,950 square meter conference center on the Mulungushi International Conference Center (MICC) grounds in Lusaka (exact locational coordinates: -15.389366868110134, 28.31330540119283) as part of preparation for Zambia's hosting the July 2022 African Union Heads of State Summit.

The main conference hall will have a 2500-seat conference hall, one 600-seat medium meeting room, one 400 seat multi-function hall, and ten 60-seat group meeting rooms.

It will also have five VIP rooms, office area, exhibition area, press center, emergency medical center, service area, auxiliary facilities such as parking space. The existing MICC facility will also be renovated.

To facilitate the implementation of the project, the Zambian Government agreed to provide land and the necessary permits.

The Chinese Government is responsible for the design, engineering, provision of construction machinery, equipment, needed materials, engineers, and technical personnel for construction works. China Jiangsu International Economic and Technical Cooperation Co. Ltd. is the contractor responsible for implementation.

The project has reportedly created 530 jobs for local Zambians.

Four local contractors were also engaged in line with the Zambian Government policy that compels foreign firms to give 20 percent of their construction works to local contractors. A project implementation agreement (项目实施协议) was signed on October 28, 2019. Then, on February 28, 2020, a groundbreaking ceremony took place.

The project was originally expected to reach completion within within 27 months (April 28, 2022).

However, of February 2022, the project had achieved an 87% completion rate and it was running slightly ahead of schedule.

On May 31, 2022, the completion and handover ceremony of the Zambia International Conference Center was held in Lusaka, Zambia.

📋 Staff Comments

This project is also known as the International Conference Center Construction Project, the MICC Construction Project, the China Aid International Conference Center Project, and the Kenneth Kaunda International Conference Center Construction Project. The Chinese project title is 赞比亚国际会议中心项目 or 援赞比亚国际会议中心项目 or 赞比亚国际会议中心项目.
While the Zambia Online source lists the funding as an interest-free loan, that is said to come from Diggers.com. All other sources, including the Zambian Parliament source, list the funding as a grant.
In June 2017, during a visit by Chinese State Councilor Wang Yong, the Chinese and Zambian Governments signed two economic and technical cooperation agreements worth RMB 450 million. One RMB 250 million agreement was signed for the construction of milling plants in Monze, Mpika and Lusaka and construction of an International Conference Center to host the 2022 African Union Summit (see Project ID#59127).
On March 4, 2020, Zambia's Minister of Housing and Infrastructure Development was asked why the cost of the project went from $30 million as announced in 2018 up to $60 million USD in 2020. He responded by saying that it 'shouldn't be strange because it is free money.' However, AidData has not yet identified any other evidence that the Chinese Government committed an additional $30 million of grant funding. This issue warrants further investigation.

📚 Sources & References

Remarks at the Luncheon in Honor of the Chinese Community in Zambia Hosted by H.E. Mr. Michael Chilufya Sata
CHINA GRANTS ZAMBIA US$32MILLION FOR MICC EXPANSION
Govt Acquires $30m Chinese Loan To Upgrade Mulungushi Conference Centre, $60m conference facility has no strings attached, it is a gift from China - Mwale
Chinese firm to undertake construction of modern conference center in Zambia.
Govt acquires $30m Chinese grant to upgrade Mulungushi Conference Centre
Tuesday, 18th June, 2019 House Discussion Script
援赞比亚国际会议中心项目实施协议在卢萨卡签署
Zambia 2015 Bond Prospectus
Chinese firm to construct modern conference center in Zambia
SPEECH BY HIS EXCELLENCY DR. EDGAR CHAGWA LUNGU PRESIDENT OF THE REPUBLIC OF ZAMBIA
AT THE GROUND-BREAKING CEREMONY FOR THE CONSTRUCTION OF THE INTERNATIONAL CONFERENCE CENTRE
Zambia Selects Chinese Firm to Construct a state of the art multi-facility International Conference Center in Lusaka
援赞比亚国际会议中心项目举行开工仪式
李杰大使在援赞比亚国际会议中心项目开工仪式上的讲话
Construction of China-funded conference center in Zambia 85 percent complete
CONSTRUCTION of an ultra-modern conference center which will host the African Union Summit in Lusaka next year, is progressing well.
Zambia government happy over construction progress on multi-functional conference center
Ambassador Li Jie accompanies Hon. Stanley Kasongo Kakubo,Minister of Foreign Affairs and International Cooperation,to visit the China Aid International Conference Center
中江国际赞比亚公司承建的中国援赞比亚国际会议中心开工典礼圆满举行
李杰大使陪同赞比亚外长卡库博考察援赞国际会议中心项目
新任赞比亚住建部部长视察援赞国际会议中心项目
赞比亚住房和基础设施发展部部长Vincent Mwale 对国际会议中心项目进行视察
No, construction of new Mulungushi International Conference Centre is not funded by a loan acquired by PF, but is funded by a Chinese grant to Zambia.
China-funded conference center to give impetus to Zambia's MICE industry
Tuesday, 18th June, 2019 National Assembly of Zambia
Tuesday, 14th September, 2021 National Assembly of Zambia
REPORT OF THE AUDITOR GENERAL ON THE ACCOUNTS OF PARASTATAL BODIES AND OTHER STATUTORY INSTITUTIONS FOR THE FINANCIAL YEAR ENDED 31st DECEMBER 2020
Ground-breaking Ceremony for the Construction of the Multi Facility International Conference Centre in Lusaka By President EDGAR LUNGU
Mulungushi International Conference Centre
新任赞比亚住建部部长视察援赞国际会议中心项目
中国援赞比亚国际会议中心项目竣工移交
杜晓晖大使在肯尼思·卡翁达国际会议中心项目竣工移交仪式上的致辞 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.