1 loan purpose
(1) Building productive projects, infrastructure projects and social welfare projects with economic or social benefits in the borrowing country; (2) The borrowing country purchases mechanical and electrical products, complete sets of equipment, technical services and other materials from China. 2 loan management (1) The centralized management departments of the government are the Ministry of Commerce, the Ministry of Foreign Affairs and the Ministry of Finance, which are responsible for formulating policies and plans and signing preferential loan framework agreements; (2) The Export-Import Bank of China is responsible for signing loan agreements, project evaluation and review, lending, loan management and principal and interest recovery. The borrower of the loan object is generally the Ministry of Finance of the borrowing country. Under special circumstances, it may be a financial institution or other institution designated by the government of the recipient country and recognized by The Export-Import Bank of China and provided with repayment guarantee by the Ministry of Finance. 4 loan conditions (1) The loan application amount shall not be less than 20 million yuan in principle. (2) Interest rate and term: the provisions of the intergovernmental framework agreement on preferential loans should be implemented. The loan period is divided into grace period (including withdrawal period) and repayment period. During the grace period, the borrower only pays interest, not principal; After entering the repayment period, repay the principal and interest according to the loan agreement. (3) Interest: Interest is calculated once every six months. Since the first withdrawal date, March 2 1 and September 2 1 are fixed interest payment dates. (4) Repayment of principal: equal repayment shall be made every six months after the repayment period, with March 2 1 and September 2 1 as the repayment date each year. (5) Fees: The borrower shall pay the management fee in one lump sum according to the total loan amount before the first withdrawal; Pay the commitment fee according to the unexpended part of the loan. 5. Conditions for the loan project (1) The project is recognized by the government of China and the government of the borrowing country; (2) The borrower country has good diplomatic relations with China, the political and economic situation is relatively stable, it has the ability to repay the principal and interest of the loan, and its debt repayment reputation is good; (three) the project is technically feasible, in line with the key areas of economic development and industry planning of the borrowing country, and has good economic or social benefits; (four) the project shall be undertaken by enterprises in China, and the equipment required for the project shall be supplied by enterprises in China in principle; (five) the equipment, materials, technology or services required under the loan shall be purchased or imported from China in priority, and the part purchased from China shall not be less than 50% in principle; (six) the project matching funds have been implemented. Large and medium-sized enterprises with independent legal personality that meet the requirements of enterprise qualification and are registered in the administrative department for industry and commerce of China; Good business management, financial and credit status; The enterprise contracting the project has the right to foreign contracted management and the Grade A (Grade I) qualification of related majors, and has the experience of contracting the project and the ability to perform the contract; Enterprises undertaking product export projects should have the right to export corresponding products, have trade experience and have a good business record. 7 loan application materials (1) the letter of opinion of the government of the borrowing country on the use of preferential loans, that is, the loan application; (two) the project opinion issued by the Commercial Office of the Embassy of China in the borrowing country; (3) the project proposal or feasibility study report approved by the government of the borrowing country, including the necessity (aims and objectives), content and scope, investment budget, technical and economic feasibility, social benefits and other information of the project. ; (4) Business contracts or other cooperation contract documents between enterprises signed by Chinese and foreign parties; (5) Relevant information on the political, economic and social conditions of the borrowing country; (6) Brief introduction of Chinese and foreign implementing enterprises, copies of business licenses, audited financial statements for the last three years, and domestic and overseas performance reports of China enterprises; (seven) other relevant information required by the bank. Loan Procedures (1) The government of the borrowing country applying for a loan proposes alternative projects to the government of China or The Export-Import Bank of China according to the development plan and strategy, and submits relevant application materials. (two) assessment of The Export-Import Bank of China to assess the acceptance of the project review, and the assessment results submitted to the competent department of China municipal government. (III) Signing the Agreement China signed an intergovernmental framework agreement on preferential loans with the governments of borrowing countries, which stipulated the purpose, amount, term and interest rate of the loans. The Export-Import Bank of China signed a project loan agreement with the borrower, and the loan conditions are consistent with the framework agreement. (4) Project implementation and loan project implementation are the obligations of the borrower and the executing agencies at home and abroad, and the contents of the project shall not be changed without the consent of The Export-Import Bank of China. According to the loan agreement, the borrower submits relevant documents to The Export-Import Bank of China to apply for withdrawal. After approval by the bank, the loan will be transferred to the account of the executing agency in China. In order to ensure the effective use of funds, The Export-Import Bank of China issued loans according to the progress of the project and supervised the implementation of the project. The borrower shall report the progress of the project and the use of funds to The Export-Import Bank of China, and provide assistance for on-site inspection. When the project is completed, the borrower shall submit the completion report. (V) Loan repayment The borrower repays the principal and pays interest according to the loan agreement. Flow chart of preferential loan business