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Chapter 1396: Chapter 1243: Cobalt Mine (Please Subscribe!)
Since assuming office,
Waite has also been dedicating himself wholeheartedly.
Finally,
The situation has improved a little bit from before.
Wan Qing Steel Factory began its production, reducing the import needs for foreign steel. In the future, with the successive production of two major Huaxia Central Enterprises, there will soon be a reduction in the import needs of refined oil and chemical products.
In doing so,
A significant amount of foreign exchange can be saved.
At this time,
He has truly realized the transformation that industry can bring to a nation, not to mention anything else, just changing a nation’s debt structure can rejuvenate a nation with a different vitality.
Fortunately,
Heaven has favored them,
Allowing this opportunity to come their way.
To Tang Qing,
He felt grateful.
Even thinking about when there might be a chance to award him a medal or something, although Tang Qing’s personal wealth is now aiming for the top ten in the world, To Gild the Lily is also good.
...
Before long,
The car arrived at the Presidential Palace.
After the welcome,
The two sides began their talks.
During the conversation,
Waite said straightforwardly: "Mr. Kan Qin, compared to Mozambique, we have a larger market space and a greater Determination to change the current state, therefore, we hope your country can support us with more loans."
Having said that,
Waite,
Along with everyone else, was intently watching Kan Qin.
Kan Qin calmly smiled, the feeling was indeed pleasant, "Mr. Waite, this can be considered, but it is based on certain reciprocal conditions."
"This is certain, please speak," Waite nodded.
Subsequently,
Kan Qin explained,
"To facilitate trade between our two countries, as well as currency settlement, we have two basic conditions. First, your country recognizes the Asia Dollar as one of your Foreign Exchange Reserves currencies, and maintains a reserve of at least ten billion Asia Dollars."
"Second, issue a bank license for Myanmar Bank in your country, allowing it to carry out non-personal banking services within Congo Gold, for settling our bilateral commodity and Project trade."
The Mozambique model apparently, 𝔫𝖔𝔳𝔭𝔲𝔟.𝖈𝔬𝔪
In Africa,
It’s better not to engage in personal banking services.
Otherwise,
The bad loan rate could be headache-inducing and hard to eliminate because you aren’t a domestic Bank and don’t have strong enough Influence and deterrence to make people repay their debts.
More importantly,
People might not even be inclined to borrow your money.
Thus,
This time,
They changed strategies.
Only engage in large-scale Project loans and the settlement of bulk commodity trade in your country. As for personal loans, let’s forget about it; don’t stir up trouble, and first secure the parts that can be controlled.
When the time is right in the future,
Consider opening up personal banking services.
After hearing this,
Waite promptly nodded, "These two conditions are not a problem." They have thoroughly investigated and understood that this is the pattern on the Mozambique side, and it’s not about taking advantage of anyone.
Besides,
They settle with Asia Dollars.
For Congo Gold,
The nearer the better. Otherwise, every time you make a settlement payment, you’d have to go through Myanmar, which is just creating trouble for yourself. And the status of reserve currency is just a matter of one sentence.
"With this, our cooperation seems to have no obstacles," Kan Qin said with a smile, then continued, "But since it is our first cooperation, we cannot make our old partners feel uncomfortable, right?"
"This..."
Waite’s heart skipped a beat.
Kan Qin said, "Now, we provide Mozambique with a loan quota of fifteen billion Asia Dollars per year, including Commodity and Project loans. The ten billion given the other day are not included in this quota."
"Therefore, for our initial cooperation, the credit line we can offer to your country is only 15 billion Asia Dollars. If the first year of cooperation is pleasant, I can guarantee that at least 30 billion Asia Dollars will be provided next year."
15 billion.
This figure.
Waite was actually a bit disappointed.
In his mind.
It should have been at least 20 billion and upwards, but seeing Kan Qin’s firm expression, and considering Mozambique’s reaction, there didn’t seem to be room for bargaining. Alright then, let it be 15 billion.
"Okay."
Waite nodded.
"Thank you for your understanding!" Kan Qin smiled.
"Long live understanding, are there any restrictions on this loan, from your country?"
Waite continued to ask.
"5 billion Asia Dollars in commodity loans, and 10 billion Asia Dollars in project loans. For the commodity loan, your country needs to establish an import and export trade company, or, you can decide to allocate it to one of your country’s companies."
"As for the project loan, it must be used sensibly and not wastefully or diverted for other purposes, and purchases settled in non-Asia Dollars must not exceed 30 percent of the total."
"Alright, what about the repayment..." Waite asked cautiously.
"Same as Mozambique, your country can use minerals as debt repayment. However, we have a specific requirement regarding the type of minerals; your country must primarily use cobalt mines to offset the debt," said Kan Qin.
Cobalt mine.
Most people don’t deal with it.
But with Ling’s proposal of an ’electricity-driven society’, cobalt is an indispensable part of lithium batteries. It is foreseeable that in the future, along with the widespread use of mobile phones, electric cars, etc., you can imagine the demand.
Therefore.
The need for this kind of ore was incorporated into strategic planning.
And Congo Gold.
Has nearly half of the world’s cobalt reserves.
Naturally.
It was targeted by them.
"It’s wonderful, you’ve really helped us out a lot," Waite said happily.
To be honest.
He was feeling frustrated too.
Congo Gold.
Rich in minerals, but with the seaport located to the west, and Brazil on the opposite shore, this mineral-rich country is almost never the choice for Europe or the Americas to purchase any ore from.
Moreover.
Infrastructure in the whole of Europe and America hardly progressed in decades.
For decades.
There were hardly any new infrastructure or houses built.
That’s the most helpless aspect for African nations.
Having minerals.
But not being able to sell much locally.
And going further away.
Transportation becomes a big issue, and the world’s developing countries that need a lot of minerals, only include the enigmatic Huaxia, which mainly imports ore from the major global mining giants.
This time.
Being able to offset with minerals.
Truly made Waite extremely happy.
The subsequent negotiations.
Became more and more harmonious, with both sides achieving their goals, one got the money, and the other completed the task, and finally, just like with Mozambique, Kan Qin also pitched ’medical aid’.
This.
Was actually an important ’foot in the door’ for this trip.
It was used to open up relations here, to facilitate future cooperation more smoothly, so as not to give the impression of ’plundering’ to the outside world, but under the banner of ’assistance’.
Waite was certainly very supportive of this aid.
However.
There was a small issue with domestic medical loans; there was no way around it, too many people needing loans for treatment, they couldn’t possibly provide enough money for the Myanmar medical group.
It’s impossible to accrue a massive debt for this, right?
Repay?
What will they use for repayment then?
Waite guessed... that Mozambique agreed so swiftly probably because they were a bit naive. Now, we can only allow them to come and build hospitals, as for the rest, we’ll discuss it later.
