Tanzania Head of State, John Magufuli. Yesterday called for concessional loans to be used in financing development projects. However, requested for cancellation of debts which Tanzania owes China.
President Magufuli made the call on China yesterday in Chato, Geita. During his talks with Chinese Foreign Affairs Minister Wang Yi, who was in the country on a-two day official visit since.
Tanzanian Government requested China to support its Ruhudji and Rumakali hydroelectric power projects in Njombe Region. As well as a highway project in Zanzibar, the Makutupora-Tabora (370km), and the Tabora-Isaka (161km) sections of the standard gauge railway (SGR) project.
Upon completion of the Rumakali and Ruhudji hydropower projects, the plants would have the capacity to generate 222MW and 358MW power respectively.
On Cancellation of debts
Dr Magufuli asked for the cancellation of debts related to the construction of police officer’s houses. Amounting to $137 million; $15.7 million used in the construction of the Tanzania Zambia Railway in the mid-1970s. And $15 million used for construction of the Tanzania-China Friendship (Urafiki) Textile Mill in Dar es Salaam in 1968.
Minister for Works and Transport, Leonard Chamuriho. Called on China to support Tanzania in the implementation of the Makutupora-Tabora and Tabora-Isaka sections of SGR.
“We call upon the government of China to join us in the implementation of those projects. We request it to give a nod to the Chinese financial institutions to offer concessional loans so that the entire Dar es Salaam-Mwanza railway can start working sooner than later.” pleaded Dr Chamuriho.
In addition. Chamililo said, he government is committed to ensuring that the transport sector created an enabling environment for production activities and shaping the economy, in turn.
Mr Wang, who doubles as the Chinese State Councillor, promised President Magufuli to convey his request to Chinese President Xi Jinping.
“In China we have a saying: If you want to get quick development, you must build roads and other transport infrastructure and that is what China does.” noted Mr Wang.
“I’m optimistic Magufuli’s efforts in investing in infrastructure will be fruitful.”
Mr Wang witnessed the signing of the contract for the construction of a-341 km. Fifth section of the Standard Gauge Railway (SGR) from Mwanza to Isaka.
TSh 3.0677 trillion worth project, expected to complete in January, 2024. Handled to constructed by the China Civil Engineering Construction Corporation (CCECC). According to the Tanzania Railway Corporation (TRC) director general Masanja Kadogosa.
CCECC which won the tender that involved more than 18 international companies. Would work in cooperation with the China Railway Construction Corporation (CRCC).