AFDB APPROVES TSHS.589BN FOR ROAD CONSTRUCTION IN TANZANIA

The Permanent Secretary of Ministry of Finance, Mr Doto James (right) and the Resident Representative of African Development Bank (AfDB) on the left, look at the map of the Kabingo-Kasulu-Manyovu road which will be constructed from gravel to bitumen standard.

 

The Permanent Secretary of Ministry of Finance, Mr Doto James (right) and the Resident Representative of African Development Bank (AfDB), signing a contract agreement for soft loan worth TShs.589.3 billion from the bank, which will help construct the Kabingo-Kasulu-Manyovu road from gravel to bitumen standard. 

By Times Observer reporter

Dar es Salaam

THE Tanzania government and the African Development Bank (AfDB) yesterday signed two contract agreements of soft loans worth US$ 256.2 million (app. TShs.589.3 billion) to finance the Kabingo-Kasulu-Manyovu (260 km) road upgrading project to bitumen and the improvement of social services infrastructure.

Speaking during the signing of the agreements, Permanent Secretary of the Ministry of Finance, Mr Doto James, thanked AfDB for supporting the government’s initiatives for investing in transportation infrastructure.

"This bank has been a long time partner in development with our government, especially infrastructure and its investments have been of vital importance," Mr James said.

He said the construction of Kabingo-Kasulu-Manyovu road is part of government strategy which aims at strathening transport infrastructure in order to foster economic and social development, poverty reduction and strengthening of regional integration and trade.

For his part, Kwa upande wake, the bank’s Resident Representative, Dr Alex Mubiru, thanked the Tanzania government for implementation of projects funded by AfDB, adding that the construction of the road will add economic opportunities for Kigoma region and neighbouring Burundi.

As of late, AfDB has given Tanzania loans amounting to US$1.9 billion for implementation of various projects like roads infrastructure, water, energy, education, and construction of modern markets.

Last November, the Boards of Directors of the African Development Bank Group approved US$322.35 million loans and grant to Burundi and Tanzania to finance the Rumonge-Gitaza (45 km) and Kabingo-Kasulu-Manyovu (260 km) road upgrading project.

The project aims at strengthening regional integration and trade in the East African Community, particularly between Tanzania and Burundi through improved cross-border transport and is part of the East African roads network linking the Port of Dar es Salaam to the regional markets in Tanzania, Burundi, Rwanda, Uganda and the Democratic Republic of Congo (DRC).

To be completed in 2023, the project comprises several phases, including the upgrading from gravel to bitumen standard of Kabingo-Kasulu-Manyovu (260 km) road section in Tanzania and rehabilitation of Rumonge – Gitaza (45 km) paved road section in Burundi.

It also involves the construction and operationalization of a One Stop Border Post between Tanzania and Burundi at Manyovu/Mugina Border; Rural/Urban Roads rehabilitation, Health Centres and Schools construction, Community Water Sources, and road safety, institutional support and capacity building of actors involved, including compensation and resettlement of people affected by the project.

The project aligns with the National Development Plans of both Burundi and Tanzania, particularly the respective sectoral policies on transport in both countries.

When completed, this multinational road will help open up rural areas, reduce vehicle operating costs, and enhance road safety. In addition, it will improve access to socio-economic and health infrastructure located along roads, particularly in Burundi’s Rumonge province Tanzania’s Kigoma region.

“The project will fundamentally enhance the mobility of goods and services for the people in Burundi and Tanzania”, said Gabriel Negatu Director General of the Bank Group’s East Africa Regional Development & Business Delivery Office. “The improved transport will bring additional benefits for the two neighboring countries, including empowering women and youth for whom new market centers will be opened and other economic activities will increase.”

The project is in line with the objectives of the Bank’s Ten-Year Strategy (2013 - 2022) which focuses on assisting its regional member countries achieve more inclusive and greener growth via the Bank’s High5 priorities including integrating Africa and improving the lives of the people of Africa, The project is also consistent with the Bank’s Country Strategy Papers for both countries, which have infrastructure development as an important pillar. Likewise, the project is one of the priorities in the Bank’s East African Regional Integration Strategy Paper (2018-2022).

Complementary components to benefit local communities along the Project road in addition to the main roads upgrading works were well appreciated by Board members who encouraged packaging such integrated Projects.

Source: Times Observer