Completed Development AidData Chinese Aid

Chinese Government cancels RMB 247 million of the Government of Zambia’s outstanding TAZARA debt obligations (Linked to Record ID#1931)

¥247M RMB

Funder	China Ministry of Commerce
Recipient Organization	Government of Zambia
Country	Zambia
Start Date	Jan 01, 2011
End Date	Oct 31, 2032
Duration	7,974 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`73097`

Grant Description

In 1967, the Chinese Government provided an RMB 494 million interest-free loan to the Government of Zambia and an RMB 494 million interest-free loan to the Government of Tanzania for the construction of the 1860 km Tanzania–Zambia Railway (TAZARA), stretching from Dar‑es‑Salaam to Kapiri Mposhi.

The railway, largely aimed at facilitating copper exports from land‑locked Zambia, was completed in 1975. It was the largest Chinese Government-financed construction project in Africa at the time.

Then, on January 19, 2011, the Government of Zambia and the Government of Tanzania were both in arrears on their respective loans, and the Chinese Government agreed to cancel 50% of their outstanding debt obligations.

More specifically, the Chinese Government agreed to forgive 50% of the Government of Zambia’s outstanding debt obligations (approximately RMB 247 million or $37.5 million) associated with the Tanzania–Zambia Railway (TAZARA) Construction Project.

📋 Staff Comments

This project is not marked as an umbrella because the original loan is not captured in AidData’s dataset, so there is no risk of double counting.
The debt forgiveness that was granted to the Government of Tanzania is captured in Project ID#1931.

📚 Sources & References

中国政府减免坦赞铁路50%债务
中国援建坦赞铁路
SAIS-CARI China's Debt Cancellation In Africa Database, 1月19日下午，钟山副部长在卢萨卡与赞比亚财政部长、坦桑尼亚财政部副部长代表各自政府签署中国政府免除坦赞铁路部分债务的议定书
中国免除坦赞铁路建设一半债务
中国政府减免坦赞铁路50%债务
Debates - Tuesday
March, 2007
China Cancels Tazara Debt By 50 Per Cent
China to forgive half of Africa rail debt
Debt Relief with Chinese Characteristics
Chinese Debt
Aid and Trade: Opportunity or Threat for Zambia?
中国免除援建赞比亚、坦桑尼亚铁路建设一半债务
China-Africa economic relations: The case of Zambia
REPORT OF THE PUBLIC ACCOUNTS COMMITTEE ON THE REPORT OF THE AUDITOR-GENERAL ON THE ACCOUNTS OF THE REPUBLIC FOR THE FINANCIAL YEAR ENDED 31STDECEMBER, 2012 FOR THE THIRD SESSION OF THE ELEVENTH NATIONAL ASSEMBLY APPOINTED BY THE RESOLUTION OF THE HOUSE ON 27TH SEPTEMBER, 2013 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.

All Grantees

Government of Zambia

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