Special Loan Program for China-Latin America Infrastructure Project explained

Special Loan Program for China-Latin America Infrastructure Project
Type:	Special credit line
Foundation:	2014
Industry:	Project Finance

The Special Loan Program for China-Latin America Infrastructure Project (中拉基础设施专项贷款) is a special credit line established by the Chinese government of US$20 billion for financing of infrastructure projects in Latin America.^[1] The program was announced in July 2014 during the inaugural China-LAC Summit with a commitment to implement the "special loans for Chinese-Latin American infrastructure".^{[2] [3]}

The program is administered by China Development Bank and the capital is contributed from the State Administration of Foreign Exchange.^[4]

According to an analysis published on the China and Latin America blog, the program could be a source of financing for the Bolivian segment of the planned Central Bi-Oceanic railway, a project vigorously pursued by Bolivian officials in 2016.^[5]

Notes and References

1. News: Gallagher . Kevin . China doubles bets on ailing Latin American economies . Financial Times . February 12, 2016.
2. News: China offers $20 billion fund for Latin America infrastructure projects . AFP . July 17, 2014.
3. Web site: Xi Jinping Attends China-Latin America and the Caribbean Summit and Delivers Keynote Speech, Comprehensively Expounding China's Policies and Propositions Toward Latin America, Announcing Establishment of China-Latin America Comprehensive Cooperative Partnership of Equality, Mutual Benefit and Common Development, and Establishment of China-CELAC Forum . Ministry of Foreign Affairs of the People's Republic of China.
4. Web site: Chinese Finance to LAC in 2015: Doubling Down . The Dialogue.
5. Web site: Update: Twin Ocean Railway . China and Latin America. 3 June 2016 .