The government towriteno this negotiating new loans and financing worth USD 18.9 billion, with most ofa amount to be negotiated with China, states the “Preliminary Prospectus” that the Government made available to investors in the latest issue of “eurobonds”, reported the Newspaper Expansion.
According to the document, of the USD 18.9 billion, 15.5 billion are being negotiated with China, between financing through a line of credit and loans from banks.
ICBC leads the value of loans under negotiation, as the Executive is negotiating at least two loans, one for USD 11.7 billion to finance “Several infrastructure projects” and another for USD 1.2 billion to finance 85% of contracts owed to “certain contractors” design, construction and supply of equipment for Bom Jesus International Airport”, the new Luanda airport. The prospectus states that this is a loan with a maturity of 15 years.
Still with China, Angola is negotiating financing with the Asian giant’s credit line in the order of USD 690 million for the marginal bill of Corimba, in the country’s capital, as well as USD 760.4 million, for the “construction of a transportation (of energy) from Luchimo” and USD 1.1 billion for the “construction of the naval academy at the Kalunga base” in Porto Amboím.
On the table are negotiations with the German Commerzabank Aktiengesellschaft, an amount of up to 500 million euros, for operations, and 600 million for import of goods with Gemcorp Corporate, an investment fund based in London, with the possibility of extending this credit to USD 1.2 billion.
On the table are also negotiations for a loan of USD 600 million from Standard Chartered Bank and the World Bank, another of USD 678 million with the French BNP Paribas and the World Bank. According to the information that the State gave to potential “eurobond” investors, a loan of USD 500 million is being negotiated with the French Credit Agricole Corporate and Investmen Bank for “payments to certain contractors and commercial loans”.
A loan of USD 500 million is also being negotiated with the Spanish BBVA, to “facilitate exports from Spain to Angola”, states the preliminary Prospectus.
As of December 31, 2017, the country owed USD 38.3 billion abroad, divided between bilateral debt, i.e. State to State, around USD 7.8 billion, multilateral debt, i.e. to international institutions, USD 2 .1 billion, debt to commercial banks, USD 22.8 billion, debt to connoisseurs, USD 4.1 billion, and, finally, securitized debt, in this case “euro-bonds”, 1.5 billion.
At the beginning of this month, Angola issued, in London, three billion US dollars in Eurobonds. This was the second issuance of Eurobonds. The first was USD 1.5 billion, made in 2015.