China Ocean Shipping Group (COSCO) and China Export-Import (EXIM) Bank signed a CNY 120 billion (USD 18 billion) strategic cooperation agreement in Beijing, as well as a term sheet to finance the construction of 50 ships.
The deal was signed in an effort to help accelerate optimization of fleet structure and enhance international competitiveness, COSCO said.
The signing of the agreement and the term sheet is an important measure that China Eximbank and China COSCO Shipping Corporation jointly take to implement the Belt and Road Initiative, according to the bank.
This financing scheme would boost the domestic shipyards, helping China’s shipbuilding industry to speed up the adjustment of product structure, promote industrial restructuring and upgrading to achieve sustainable development.
EXIM Bank will also provide full financing to help COSCO with any mergers, acquisitions and equity investments, as well as to further optimize the fleet structure.
World Maritime News Staff