BEIJING, Feb. 26 (Xinhua) -- Chinese Ministry of Finance signed an agreement here Thursday with the Japan Bank for International Cooperation (JBIC) for one light rail project loan of 22.75 billion yen (1.6 billion yuan, 234.3 million U.S. dollars).
The ministry said the loan will be used for equipment purchase in the first-phase construction of the No.3 light rail project in Chongqing municipality in southwest China.
According to the ministry, the city's first-phase construction of the No.3 light rail project will cost 5.815 billion yuan (851.4million U.S. dollars). The drawdown period of the loan will last till December 31, 2011, to be paid back over 16.5 years, including a grace period of three years.
The ministry said so far China has received about 14.6 billion U.S. dollars loans from JBIC, a government financial institution facilitating cross-border economic cooperation, for 84 projects.