Kribi, Cameroon Africa. January 2011. (Cameroon News) – Cameroon has decided to take grant from Export Import bank of China for construction of Kribi deep sea port.
Reports coming in from leading press bureaus indicate that Cameroon has decided to secure a concessionary loan amounting to XAF 207 billion from the Export Import Bank of China in order to finance the construction phase of a deep sea port at Kribi.
China-Cameroon Presidents
Mr Louis Paul Motaze Minister of economy, planning and regional development of Cameroon announced at a conference with representatives of the local media that the agreement fro the grant had already been inked after subsequent discussions with the Chairman of Exim Bank Mr Li Rougu in the capital Yaounde.
He said that “We’ve had a very fruitful discussion with Mr. Li Rougu and reached an agreement with him that his bank will grant us a XAF 207 billion concessionary loan to develop the first phase of the Kribi deep sea port project.“
He said that the agreement would be finalized during the later half of this week.
He however said that the fine details of the terms that have been mutually agreed by both parties as far as the loan is concerned cannot be revealed to the press.
The deep sea port that is being planned in Kribi would essentially be used to transport the iron ore, alumina, cobalt and nickel from a plethora of mining projects which are being planned in the coming five years in adjoining territories.
President Paul Biya of Cameroon and HIs Chinese Counterpart
Cameroon presently has only one port in Douala which manages close to 95% of the central African country’s shipping volumes. However owing to its proximity to the sediment laden Wouri River estuary that needs regular dredging a lot of big ships are unable to anchor here affecting trade volumes adversely.
The port of Kribi once it is set up will aid in improving shipping traffic especially with bigger ships.
The total budget for the first stage of the Kribi port project is approximated at XAF 282 billion.
The port would provide an entry to big vessels than what Douala can currently manage and also incorporate road and rail links to major mining projects.
The loan grant by EXIM bank China for the building of the Kribi deep sea port is a fruit of the cooperation ties between both countries. A bank cannot undertake a grant if she is not sure of her client, showing the degree of trust placed in Cameroon. It is not surprising and I think better days are to come in the relations between both countries.