World Bank President Robert Zoellick on Monday cited signs of progress in talks to adjust a $9 billion infrastructure-for-minerals deal between China and Democratic Republic of Congo that has raised IMF concerns.
The International Monetary Fund fears the contract, which uses Congo's mineral reserves as a guarantee for infrastructure projects, could plunge the central African nation deeper into debt and have delayed forgiveness of most of the $10 billion Congo already owes.
"We've been able to make some good progress with the DRC and China on this investment," Zoellick told Reuters on the trip.
"The latest we've heard is that the Chinese firm is willing to adjust to have the guarantees only cover the infrastructure and not the mining operation and if we're able to get that turned around then we can proceed with debt forgiveness."
Source: Reuters
World Bank, Washington (Photo: Flickr)
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