China-Congo deal takes Africa by surprise
20 September 2007
A US$5 billion deal between China and the Democratic Republic of Congo that will see mineral resources exchanged for infrastructure projects and loans has caught international organizations off guard, the Financial Times reported. The International Monetary Fund, World Bank and African Development Bank were left scrambling for information about the agreement, which was signed this week. Congo is currently negotiating with the IMF over the forgiveness of about US$8 billion in debt. Western mining groups have also been put on alert as they are waiting for a government review of contracts signed during Congo's recent civil war. The country is said to have some of the world's best deposits of copper and cobalt, as well as diamonds, gold, iron and uranium.