Loan and Project Agreements for Guangxi Chongzuo Urban Water System Ecological Restoration Project signed in Chongzuo, China
On 14 May 2019, Loan and Project Agreements for Guangxi Chongzuo Urban Water System Ecological Restoration Project were signed in Chongzuo city of Guangxi Zhuang Autonomous Region, China.
The Loan Agreement was signed by Mr. Xian Zhu, Vice President and Chief Operations Officer of New Development Bank (NDB) and Mr. Zhengwei Zhang, Deputy Director General, Department of International Financial and Economic Cooperation, Ministry of Finance of China. The Project Agreement was signed by Mr. Xian Zhu and Mr. Zhirong Fei, Vice Governor of the People’s Government of Guangxi Zhuang Autonomous Region.
According to the Agreements, NDB will provide a USD 300 million project loan to the People’s Republic of China for Guangxi Chongzuo Urban Water System Ecological Restoration Project which aims to support Chongzuo for making the city on the way towards a greener and more sustainable development path. The specific objective of the Project is to improve urban water environment and enhance flood protection through removing urban wastes, connecting water bodies, rehabilitating river and lake embankments, creating vegetated buffer zones in water adjacent area, constructing drainage pumping stations, and establishing a smart water information and management system. The Project has three components: (i) restoration of lakes, rivers, wetlands, channels and their adjacent areas; (ii) development of water ecological environment monitoring, control and management system; (iii) project management support and capacity building.
The NDB was established by Brazil, Russia, India, China and South Africa to mobilize resources for infrastructure and sustainable development projects in BRICS and other emerging economies and developing countries, complementing the existing efforts of multilateral and regional financial institutions for global growth and development. To fulfill its purpose, the NDB will support public or private projects through loans, guarantees, equity participation and other financial instruments. According to the NDB’s General Strategy, sustainable infrastructure development is at the core of the Bank’s operational strategy for 2017-2021. In August 2018, the Bank received AA+ long-term issuer credit ratings from S&P and Fitch.