Dominica closer to borrowing funds from China’s Export-Import Bank

Dominica's Prime Minister Roosevelt Skeritt.

ROSEAU, Dominica, September 10, 2009 – The signing of a Framework Agreement between the governments of Dominica and China has paved the way for the Caribbean island to finalise discussions with the Export-Import Bank of China on borrowing up to US$40 million.

The Roosevelt Skerrit administration wants the money to undertake four major projects in the capital, Roseau.
 
These include the construction and expansion of the Dominica State College; the construction of the State House; construction of new facilities to house the offices of the Electoral Commission; rehabilitation of major roads and housing development.

Prime Minister Skerrit said the loan is a highly concessional one. The repayment period for the loan is 20 years, including a grace period of five years at an interest rate of two per cent per annum.

He thanked the Chinese government for its commitment to the people of Dominica.

"China has remained loyal to the cause of Dominica and Dominicans, and this…is another manifestation of their commitment, even, as I said, in difficult times when it is commonplace for lenders to write saying 'sorry, we can no longer honour our commitment'. The Government of Dominica is inspired by this continued show of solidarity,” he said.

"There is no doubt that this relationship has certainly been mutually beneficial to both sides.”

China's Ambassador to Dominica, Deng Boqing, signed the Agreement on behalf of the Chinese government.