Tuesday, October 2, 2007

Dar lands AfDB USD92m loan for road project

Tanzania has secured fresh USD 92m loan from the African Development Fund (ADF) that would help it finance the upgrading of its central road network. The loan was approved recently by the board of directors of the ADF, the concessional window of the African Development Bank (AfDB) Group. The project, which aims at improving essential road transportation services between Dodoma, Singida, Babati and Arusha areas, so as to integrate them with the rest of the country, as well helping to integrate key central transport corridor in Tanzania with the northern transport corridor traversing Kenya. According to a statement from the pan African bank, the project is calculated to support Tanzania`s socio-economic development through an improved, efficient and cost effective transportation system that integrates regional and national economic centers and in so doing, would contribute to poverty reduction. The main components of the road upgrading project include civil works consisting of upgrading 223.5 kilometres road to bitumen standard with a width of 9.5 metres (6.5metres carriageway and 2x1.5 metres wide sealed shoulders) in 3 parts of the region, the Singida-Katesh, Katesh - Dareda and Dareda-Babati, Minjingu sections of the network measuring 65.1 kilometres, 73.8 kilometres and 84.6 kilometres, respectively. There are also consultancy services consisting of works supervision in each of three sections; project audit, consultancy services and resettlement. The statement explained that the project would also finance complementary activities which include STI/HIV/AIDS prevention and awareness, road safety education campaigns, and wildlife and natural resource management. The majority of project beneficiaries are the people living in the Manyara and Singida regions numbering approximately 2.13 million in about 410,000 households or 6.3 per cent of the country`s mainland population in 2002, the statement has revealed. The districts within the project area are Singida, Hanang and Babati with an average household size of 5.1 persons compared to 4.9 for the mainland. About 1,500 people will be employed during the three-year construction period, out of which 10 per cent are likely to be women. Indirectly, micro and small businesses will emerge, including vending and restaurants, a trade predominantly operated by women in Tanzania. The AfDB`s participation in Tanzania`s transport sector began in 1971 when it financed an oil pipeline and storage project. It has since been involved in 16 road projects in the country, 13 of which have been completed successfully. Work on the other three is continuing. The ADF loan will cover 72 per cent of the cost. The Tanzanian government would provide the remaining 28 per cent. The Bank Group commenced operations in Tanzania in 1971. To-date, the Bank has committed a total of UA 1.8 billion, about USD2.7 billion, in 104 operations in the country. The AfDB is among Tanzania`s top four development partners.

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