The Government of Tanzania and the Government of the Republic of Korea have signed a concessional loan agreement from the Economic Partnership Fund (EDCF) worth 684.6 billion shillings to finance Energy, Water, Government and Construction projects.
Speaking immediately after the signing of the agreement, the Permanent Secretary of the Ministry of Finance and Planning, Mr. Dotto James, stated that the $ 300 million loan, equivalent to $ 684.6 billion, is a concession that will go to support development projects and the government central budget
He mentioned some of the development projects that will be facilitated by the funds include the construction of two cooling stations in the Kigoma transmission line, Nyakanazi.
“This loan will go to support the construction of two cooling stations in the Kigoma-Nyakanazi (North West national) power transmission line at a cost of US $ 45 million, equivalent to 102.9 billion shillings,” stated James.
He also said that the money will go to support the central government budget amounting to 91.4 billion shillings to close the budget gap caused by the effects of Coronautic Fever (COVID 19) with the aim of improving the health system in the country by increasing capacity of the State budget.
He also illustrated that the money will go to improve the sewerage system in Dodoma by building a sewage treatment plant and expanding the scope of sewage pipes and increasing the number of people who can access the service.
“This project will involve the construction of a sewage treatment plant with a capacity of 20 thousand cubic meters per day, the construction of a sewage system to connect sewage system pipes and office buildings,” he said.
Another project is to strengthen surveying and mapping infrastructure where shillings 148.6 billion will be spent. The project aims to strengthen and improve land surveying and mapping infrastructure to help build sustainable Government capacity to prepare basic maps.
“The project will involve the construction of 30 electronic surveying centers in the regional capitals and an increase of 357 land survey markers in the country and an increase of 33 stations and 985 marks, access to mapping equipment, building geographical data centers.” he said.
Another project is the construction of a new Selander bridge where 74.5 billion shillings will be used to develop the bridge where previously $ 91.032 million was not enough to complete the project due to increased costs the goal is to reduce queues on Ali Hassan Mwinyi Road in Dar es Salaam.
The Permanent Secretary of the Ministry of Finance and Planning has thanked the Government of the Republic of Korea for the continued cooperation they provide to the government of Tanzania especially in the construction of various development projects in the country where a total of 589.86 billion billion has been spent on various projects.
For his part, the Ambassador of the Republic of Korea to the country Mr. Cho Tae-Ick expressed that the cooperation between the two countries is long-term and will continue to work together in various fields of development in an effort to boost the country’s economy.
He elaborated that Korea would continue to cooperate with Tanzania in investment and stated it was Tanzania’s responsibility to identify areas in need of investment so that they could work together to strengthen the investment sector in the country.