Ukraine failed to take advantage of the Chinese loan of $3.6 billion

The state development Bank of China has notified Naftogaz of Ukraine on the conclusion of General credit agreements in the amount of $3,656 billion as of December 25, 2012. About it on November 17, reported the press service of the company.

It is noted that the deal fell through because of «delays in obtaining approvals from the Ukrainian government bodies.» Naftogaz says that this year has sent more than 40 letters to the Cabinet of Ministers with a request to expedite consideration of submissions.

To obtain approval succeeded only in October. Documents the company sent to the Bank of China after the approved time.

As a result, the financial institution announced that «Naftogaz» cannot process the received documents and, accordingly, the completion of the loan agreement, said in a press release.

The development Bank of China is ready to continue cooperation with «Naftogaz» for new projects. Now the company representatives are negotiating with the Bank on the format of the work, which would require fewer approvals from governmental authorities.

Credit money is planned to direct for modernization of Sievierodonetsk power station and the construction of three plants in Severodonetsk, Horlivka, and Odesa for the production of synthesis gas feedstock for production of nitrogen fertilizers, reminds

However, the beginning of hostilities made it impossible to implement the agreed projects, so the Ukrainian government started looking for a new one.

In 2016, announced plans to Finance Chinese money the modernization of individual heating systems in private homes of low-income consumers, the construction of thermal power plants in Kyiv and Lviv region to reduce gas imports and the purchase of equipment to increase gas production to the subsidiary.

The validity of the Chinese credit line was to be 19 years including a five year grace period for the payment of the loan.

Ukraine failed to take advantage of the Chinese loan of $3.6 billion 18.11.2017

Ноябрь 18th, 2017 by
36 queries