Republic of Angola / Namibe Port Container Terminal Expansion Project and Sacomar Port Rehabilitation Project
(NEXI Underwrites Loan Insurance through Export Credit Line for Ministry of Finance of Angola)

Nippon Export and Investment Insurance (NEXI: Chairman and CEO: Kazuhiko Bando) has decided to provide insurance for loans to finance the Namibe Port Container Terminal Expansion Project (hereinafter referred to as “Namibe Port Project”) and the Sacomar Port Rehabilitation Project (“Sacomar Port Project”), awarded by the Ministry of Transport of the Republic of Angola to Toyota Tsusho Corporation and Toa Corporation.

Under the export credit line set up on January 11, 2019 between the Japan Bank for International Cooperation (JBIC) and the Ministry of Finance of Angola, the loans will be provided in the form of co-financing by Japanese private financial institutions and JBIC, with the total sum of the respective financing being approximately JPY 24.1 billion and USD 211 million for the Namibe Port Project, and JPY 3.9 billion and USD 52 million for the Sacomar Port Project.

Of the co-financings, NEXI will underwrite loan insurances for the portions financed by Sumitomo Mitsui Bank Corporation—serving as the Lead Arranger—and the Hongkong and Shanghai Banking Corporation Limited, Tokyo Branch, worth approximately JPY 9.7 billion and USD 85 million for the Namibe Port Project, and JPY 1.6 billion and USD 21 million for the Sacomar Port Project.

Angola is looking to diversify its industries, considering its economy’s heavy reliance on crude oil prices to be an issue. Given that the loans aim to expand the container terminal of the country’s third largest commercial port, Namibe Port, and to rehabilitate its export port for iron ore, Sacomar Port, NEXI’s support is likely to contribute substantially to the improvement of logistics in Angola and the acquisition of foreign currency by encouraging the export of iron ore.

At TICAD VI held in Nairobi in August 2016, expectations for Japan’s involvement in high-quality infrastructure investment in Africa were raised. In terms of responding to such voices, this project in which Japanese public and private sectors will work together to develop ports in Angola has great significance. The project is expected to strengthen the bilateral relationship between Japan and Angola and be a milestone for Japanese companies to win business opportunities in Africa.

As Japan’s export credit agency, NEXI will continue to actively support Japanese companies’ international business.

Reference:

Contact: Infrastructure Group, Structured and Trade Finance Insurance Dept.
Tel: +81-(0)3-3512-7674