Chinese firm secures $42.5m for Enugu estate construction

THE Industrial and Commercial Bank of China (ICBC), has approved a loan of $42.5million (US Dollars), under the guarantee of the Chinese Credit Insurance Corporation, (SINOSURE) for the construction of Duplexes, Electricity, Roads, Water and other ancillary facilities in HELIU Estate in Enugu the Enugu State capital.

Disclosing this to newsmen in Enugu on Thursday, the Managing Partner of F.I.T Consult, Chief Loretta Aniagolu, said the China Shenyang International Economic and Technical Cooperation Corporation Limited (CSYIC) would provide technical assistance in the HELIU Residences Project along Enugu-Umuahia-PortHarcourt Expressway.

Chief Aniagolu, the developer of the HELIU Project, in partnership with the Enugu State Government, noted after signing the Commercial Contract with CSYIC that the recent visit of the Chinese team led by the CSYIC President, Madam Tang Lezhen was for the final signing of documents with F.I.T. Consult, in respect of financing the contract.

“We wanted to bring the project with our own funds to a certain level before the Chinese come in, so that they don’t start from scratch and also, for them to know that we are very serious. We have finally tied up everything on this visit,” she said.

Aniagolu threw more light on the funding of the new District thus: “The bank funding for the project is from China, through the Industrial and Commercial Bank of China (ICBC) which is the biggest bank in the world, with its 2016 turnover at about  $2.3trillion US Dollars. The entire transaction of $42.5 million, is being guaranteed locally by Access Bank PLC .”

According to her, “the interest rate is 4 percent while the period for repayment of the loan is eight years. Two years moratorium for construction of the projects and six years for the repayment. So it is a fantastic arrangement”

Asked what happens assuming within eight years the loan is not repaid, Aniagolu said with optimism that her F.I.T. Consult was quite sure of the market in the South-East zone of Nigeria, particularly with the country gradually coming out of recession and having already received deposits on over 50 percent of the serviced plots.

“We’re sure of meeting the timeframe,” she remarked. Secondly, we are also working with the   Imperial Mortgages Limited who is providing mortgages for home buyers, making it easier for them to pay for the houses.  Presently, of the 60 bungalows we’ve done so far, most have actually been sold on a  cash basis, while Imperial Mortgages is providing mortgages for the rest. So, we have an arrangement where we are sure that in those eight years or less, we should be able to repay funds. And ‘we’ here means F.I.T. Consult. We are quite confident.”

“So far, over N2billion has been spent on various aspects of the project, such as earthworks, twenty kilometres of drainage, culverts, buildings, etc.”

Aniagolu,  who debunked the false impression most people have about the perceived slow pace with which the project was being executed, noted,  “people can hardly see the extent of the work going on right inside the entire1.2 million square meters of the Project Area, from the highway,  except they drive into the District. The amount of Works so far is enormous and the Chinese team were truly impressed.”

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She further remarked: “If you go in there, you will see where we are excavating for the Dam for independent water supply; and with this loan, we shall bring in the Water Treatment Plant. So if you live within HELIU,  you can just drink water from your tap, like it is done in any other developed  City. You don’t need to boil water before drinking it. As for Electricity, we expect to generate using Low Poor Fuel Oil, (LPFO), to provide Independent power supply to the District.”