POLICY PAPER N2024/07 - ANAKLIA PORT DEVELOPMENT: CHINA’S FINANCING AND ITS

The analysis of a sample of 100 debt contracts between 2000 and 2020 showed that most of the contracts, and all contracts since 2014, contain clauses limiting the borrower from disclosing the terms of the contract, and in certain cases, even the existence of the contract. [...] Considering that the company is the official borrower of the project funds, the debt is recorded within the books of the Lao SOE member of the joint venture. [...] The Government of Sri Lanka and China Eximbank agreed to restructure the loan in 2008, with a fixed interest rate of 6.3%.8 Additionally, in 2012, the Exim Bank agreed to provide another loan of US$809 million for the second phase of the project.9 The Government of Sri Lanka on-lent the proceeds of the loan agreement to Sri Lanka Ports Authority (SLPA), the state-owned operator of major commercial. [...] The government of Georgia will hold a controlling 51% ownership stake through the state-owned company Anaklia Sea Port LLL, with the Chinese-Singaporean consortium acquiring the remaining 49% share.28 The Statement of Intent (SOI) document for the selection process of the private partner specifies that the government will allocate up to 340 hectares of land for the project, with consideration give. [...] Given the significance of the matter, the obligations to be assumed by the state concerning the construction of the Anaklia Deep Sea Port must be public and discussed with a wide range of stakeholders.