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Montenegro to start repaying loan to China's Exim Bank in 2021 - fin min

Author Radomir Ralev
Montenegro to start repaying loan to China's Exim Bank in 2021 - fin min Darko Radunovic; Source: Montenegrin Government

PODGORICA (Montenegro), July 18 (SeeNews) – Montenegro's government plans to repay in 2021 the first tranche of a loan from the Export-Import Bank of China (EXIM Bank) for the construction of the Bar-Boljare motorway from its budget, finance minister Darko Radunovic said on Thursday.

The first installment of the loan for the construction of the Bar-Boljare motorway is due in July 2021 and will amount to about $33.7 million (30 million euro), Radunovic said in a video file posted on the YouTube channel of Montenegro's parliament.

"The obligation itself will be paid from funds of the current budget, deposits and other forms of financing, depending on the current liquidity of the budget and the available funds," Radunovic said in a response to a parliamentary question.

EXIM Bank signed in October 2014 an agreement to extend a $944 million loan to Montenegro with an interest rate of 2% and a six-year grace period for the implementation of the project.

China Communications Construction Company (CCCC), a subsidiary of CRBC, is the contractor for the construction of the 41 km Smokovac-Metesevo section of the motorway. Earlier this year, the company said it plans to complete the project by the middle of 2020.

($ = 0.8913 euro)

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