The Government of Guyana and the Government of the People’s Republic of China on Wednesday, October 31 signed a Financial Framework Agreement for a concessional loan of US$130 Million from China, through China EXIM Bank, to Guyana.

The loan is to be used to finance the Cheddi Jagan International Airport Modernization Project which includes the construction of a new terminal building and an extended runway in the country located on the South American mainland.

The Framework Agreement was signed by China’s Ambassador to Guyana, Yu Wenzhe, and Guyana’s Finance Minister, Dr. Ashni Singh in the Credentials Room of the Presidential Secretariat in Georgetown. The signing ceremony was witnessed by Guyana’s President Donald Ramotar and Minister of Public Works, Robeson Benn.

In remarks delivered before signing Ambassador Yu said he was “…especially happy that China has participated in the development programme of our friendly country Guyana and I am happy that the friendship and the close cooperation between our two governments and our two peoples have brought concrete benefits to the people of the two countries.” The Ambassador added that he expected to see similar assistance in the future. “I am sure that China will continue to support and cooperate with Guyana and the Guyanese people and we will continue to provide assistance to the best of our ability.”

In his remarks, Finance Minister Ashni Singh expressed Guyana’s gratitude for the Chinese assistance. “We are extremely grateful to the government and people of China for the support you have been providing under this agreement and we are delighted that we were able to conclude this agreement in the 40^th year of our countries establishing diplomatic relations.”

Minister Singh also provided a summary of the expected benefits of the CJIA Modernization Project, “ When completed we will see Guyana, for the first time in our country’s history, boasting a modern state-of-the-art airport comparable to any anywhere else in the world. It will put us in a position where international airlines using aircraft of virtually any type will be able to land in Guyana which will expand the opportunities for transport linkages with other countries but also be a very important creator of job opportunities.”

Minister Singh also pointed out that the airport was not the only improvement for Guyana’s eastern bank of the Demerara River, “It will also signal a significant modernization of the East Bank corridor as it will come at the end, of course, of an enhanced and widened East Bank highway. It will see significant businesses created in the Timehri area and will therefore provide jobs and other economic activity and thereby enhancing the lives of the people of the Timehri area and the people of Guyana.”

The CJIA Modernization Project is being carried out by China Harbour Engineering Company (CHEC) Limited. Surveys and geotechnical work is already in progress and mobilization for construction is anticipated in the first quarter of 2013. Construction of the new terminal building and the extension of the runway is estimated to be completed in 32 months.

The signing of this Framework Agreement was the last official function of departing Chinese Ambassador Yu Wenzhe who served as Ambassador in Georgetown for just over two years.

CHEC is currently in negotiations with the Cayman Islands Government for the construction of the George Town cruise ship port as a public-private partnership investment with 100% funding by CHEC. The George Town port when completed would be operated by the Cayman Islands Port Authority and is expected to significantly boost revenue gained from tourism sector in the Cayman Islands.