Methodology

Methodology

Information on AFD's operations in China

  • Information sheets by sector - (PDF - 52 Ko)
    • Low-carbon energy (production and use)
    • Sustainable urban development
    • Rural development
    • Clean Development Mechanism (CDM) 
  • Procurement procedures - (DOC - 50 Ko)
    AFD has set forth guidelines and monitoring procedures for procurement of agency financed public development projects in China, on the following points:
    • Untied aid
    • Competitive processes
    • Application of national Chinese regulations for procurement
    • Defining and auditing procurement process
    • Advertising 
  • Procedural elements - (PDF - 31 Ko)
    • AFD project cycle
    • Internal approval procedures for AFD financed projects
    • Further information on AFD practices
  • Loan conditions - (PDF - 13 Ko)

    AFD operates in two ways: (i) sovereign loans, e.g. a loan to the State via the Chinese Ministry of Finance, which can then be on-lent to a ministry, local authority or a state enterprise, through an intermediary bank, or (ii) a direct loan to a public entity or even a private one if it has a service policy. The loan must be valued between 30 to 80 M€, exceptions being made if it concerns a highly innovative pilot project. The loan length can reach 12 to 17 years with a 3 to 5 year period of grace, calculated on an adjustable rate (Euribor 6 months = 4.6% per year as of 30/11/2007), with a possibility to convert to a fixed rate.