President Hu rolled out $5 billion worth of concessionary loans to Africa during the summit.

China will cover 85% of the project costs through preferential buyer's credit and concessionary loans.

The new $50 million represents a combination of grants of surplus foods, concessionary loans and subsidized sales.

A concessionary loan is a loan bearing no interest or a rate of interest that is below the average cost.

The relocated families are provided with concessionary loans to start new self-employment ventures, while additional facilities such as the Talawakele Central College, places of worship, a cinema hall, a library, and a community centre, are being established.

The impact of this US threat was reduced by the subsequent announcement of a US$450,000,000 concessionary loan from Japan as part of a US$2,000 million package to Jordan, Egypt and Turkey.

It climbed to $640 for 2005 and is expected to reach $1,000 by 2010, when Vietnam will no longer qualify for concessionary loans from the World Bank, he said.

On top of that, it was also agreed to increase the IMF's financial capacity in order to boost its concessionary loans to the poorest countries.

Beijing provided a concessionary loan of US$30 million to support the first phase of a telecommunications project to link all ten regional capitals and 36 towns in Ghana with fiber optic cables.

In its proposal for short-term action, the Commission suggests a five-point programme focussing on giving both countries huge amounts of food aid and concessionary loans to assist with reform, especially in the farm sector.