A Chinese company will take
up construction work of two
railway projects in Nigeria,
saidNigerian Minister of
Transportation Rotimi
Amaechi Wednesday in an
interview withCNBC Africa.
China Civil Engineering
Construction Corporation Ltd.
(CCECC), one of the
subsidiaries ofChina Railway
Construction Corporation, a
state-owned construction
enterprise, willundertake the
construction work of a $ 19.4
billion railway project and the
work will lasttwo to three
years, said Amaechi in the
interview.
The minister also said that
The Export-Import Bank of
China will provide loans for
theconstruction. According to
a report by Thepaper.cn, the
railway connecting Lagos
andCalabar will cost $11.1
billion and that connecting
Lagos and Kano will cost $8.3
billion.
A source close to the
construction work told
Thepaper.cn that Chinese
loans will cover themajority
cost of the construction since
Nigeria does not have
enough capital for such
alarge-scale project. The
source said that CCECC
played an important role to
raise money.
The two railways, Lagos-
Calabar and Lagos-Kano, are
two of the symbolic projects
ofChina's railway going
global. The contract amounts
of the two projects set a
record whenthey were
signed, according to the
report
The report said that in 2006,
before Beijing summit of
Forum on China-Africa
Cooperation(FOCAC), China
and Nigeria signed a contract
costing $8.3 billion to build a
1,315-kilometer long railway
between Lagos and Kano. It
is reported that this project
is thebiggest international
project taken on by Chinese
enterprises at this time.
CCECC got the project
contract for the Lagos-
Calabar railway construction
at a contractedamount of $
11.97 billion in 2014.
The minister said that
China's Exim Bank will
provide loans for the project
but he did notmention specific
amounts.
Reporters from Thepaper did
not manage to contact the
bank for comments.
The report said that the
biggest concern about the
project is the source of
capital.
The source mentioned above
said that China and Nigeria
have not reached an
agreementon conditions of
loans yet and the two
countries are on the way to
reach the agreement.The
source said that China alone
cannot provide all loans for
the two projects.
Amaechi said in the interview
that all the projects could
start to construct and
Nigeriaplanned to guarantee
CCECC to finish their projects
in two to three years.
The source said that Amaechi
was too optimistic about the
projects because it is
acomplicated thing to build
railways in Nigeria.
Contractors should take
capital, politics andlocal
governments into
consideration, the source
told Thepaper.cn.
According to previous
reports made by China Radio
International, a 186.5-
kilometerNigeria Abuja-
Kaduna Railway, constructed
by CCECC, started its trial
operation on June17, 2016.
The source said that the two
countries signed the railway
contract in 2006 andthe
construction work started in
2010.
The source said that capital
amount more than anything
led to the 5-year
construction.Loans from
China and Nigeria's
supporting capital sources
are the primary ones for
theAbuja-Kaduna Railway,
the source added.
Posted in: Diplomacy

www.globaltimes.cn/content/991924.shtml
Global times is an english language Chinese newspaper. In no part of the article, did the article attribute affirmation of the said contract to a CCECC employee or offical. This is because the contract only exists in Amaehi's mind and is simply propaganda

Trash Trash Trash!!!

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