Financing expenses and interest on debt funds

Interest during the construction period mainly refers to the financing expenses and interest on debt funds incurred during the project construction period to raise funds.

Mid-year expenditure consideration

The calculation of interest during the construction period, according to the plan for the use of funds during the construction period and on the premise of balanced distribution of the total amount of loans in different years, can be considered as loans in the middle of the year, that is, loans in the current year bear interest for half a year and loans in the previous year bear interest for the whole year.

Interest on foreign loans is not considered.

When calculating the interest of foreign loans, the annual interest rate should comprehensively consider the handling fee, management fee and commitment fee charged to the lender in the loan agreement, as well as the lending fee, guarantee fee and management fee charged to the lender by domestic institutions.