ADB, China sign Inner Mongolia border project finance loan
The Asian Development Bank and Chinese government have signed a loan deal and project agreements for the Inner Mongolia Sustainable Cross-Border Development Investment Program — Project 1 totaling €166.53 million (about $200 million).
ADB approved the $420 million multitranche financing facility to improve economic opportunities and living conditions among communities along the border between the IMAR in the PRC and Mongolia on 21 October, 2020.
The first tranche will help finance the delivery of a smart port management system in the Erenhot–Zamyn-Uud economic cooperation zone, a service area and customs supervision center at the Mandula port, and upgrade of equipment at the international hospital in Erenhot. Ecological restoration will be carried out in the ECZ, and a smart waste collection system established in Erenhot.
Small and medium-sized enterprise financing support, the construction of a quarantine station at the Mandula port, and the establishment of a product tracing and management system and Poverty Alleviation Program will contribute to expanding income-generating opportunities.
The total cost of the investment program is $888.35 million, of which the government will provide $351.42 million, and $116.93 million will come from other sources, including private sector. The closing date for the third tranche is the end of September 2031.
