Deutsche Bank is providing a US$43mn accounts receivable purchase facility to China National Technical Import & Export Corporation (CNTIC) for the construction of a power generation project in Myanmar.

Backed by Sinosure, the facility will support a 90-megawatt gas-fired plant in the Mandalay region of the country, for which CNTIC has been appointed as engineering, procurement and construction (EPC) contractor. The plant is being developed and operated by Hong Kong-based VPower under a five-year power purchase agreement with Electric Power Generation Enterprise (EPGE), Myanmar’s state-owned electricity company. This is not the first collaboration for CNTIC and VPower, who have a long track record in executing power projects on an expedited basis in the countries covered by China’s Belt and Road Initiative (BRI).

The signing of the facility comes two years after Evert-Jan Zondag, then-Apac head of structured and export trade finance at Deutsche Bank, signed a memorandum of understanding with Sinosure to strengthen co-operation between both organisations on Sinosure’s guaranteed products, which support cross-border trade for Chinese companies in line with the BRI.

“We are proud to be involved in financing this project, which represents essential electricity supply to the electricity-challenged state of Myingyan,” says David Lynne, Apac head of corporate banking at Deutsche Bank. “We look forward to continuing to work with CNTIC and VPower and to helping more corporations in this sector.”