Tanzania: Tz, France Ink 590bn/-Deal for Mega Projects

By James Kamala

TANZANIA has signed three agreements with France, through the French Development Agency (AFD), for a concessional loan of 230 million euros (about 592.57bn/-), to

finance three mega development projects.

The projects include improving supply of water from Lake Victoria to Mwanza city's suburbs of Kisesa and Buswelu and Buhongwa, supporting rural electricity as well as electricity interconnection between Tanzania and Zambia.

The agreement was signed in Dar es Salaam yesterday by Permanent Secretary in the Ministry of Finance and Planning, Mr Dotto James on behalf of Tanzania and France Ambassador to Tanzania, Frederic Clavier, on behalf of France and AFD Country Resident Director, Stephanie Essombe.

"The agreements include loans aiming to finance Rural Electrification through the Densification Project Round II (B), amounting to 100 million euro (about 257.64bn/-), which will cover 16 regions of Mainland Tanzania," said Mr James during the signing ceremony, adding that for the Tanzania-Zambia electricity inter-connector project, they will get 100 million euro to co-finance the connection of the Southern African Power Pool with Eastern African Power Pool.

Mr James further said that a sum of 30 million euro (over 77.2bn/-), will finance additional works for Lake Victoria Water Supply and Sanitation Project to cover Buhongwa, Kisesa, Buswelu and Usagara areas in Mwanza city.

Speaking shortly after the signing of the agreements, French Ambassador to Tanzania Mr Frederic Clavier praised the Tanzanian government for implementing community-based developmental projects and accelerating economic growth, while promising that his government will be shoulder-to-shoulder to ensure the country reaches the envisaged middle economy status by 2025.

"France has chosen Tanzania in Africa, to carry forward future efforts of attaining future lives not just as a development partner but a true friend mainly in aspects of economy, defense and security as the country has good atmosphere strived to maintaining peace, stability and government's firmness in realisation of developmental projects," Ambassador Clavier said.

The ambassador added that France is impressed on how Tanzania implements projects that directly affect the community such as improvement of water, energy, health and education services, under the leadership of President John Magufuli.

For her part, AFD Country Resident Director, Stephanie Essombe said that the projects aimed at improving water supply from Lake Victoria to selected suburbs of Buswelu, Buhongwa and Kisasa to up to 45 million cubic litres to meet the demands of the growing population, while protecting the lake from pollution.

On the side of power project, the Resident Director said that it aimed at facilitating power supply to villagers to propel their development as well as improving electricity connection between Southern and Eastern African countries through Tanzania and Zambia

The signing was also witnessed by the Permanent Secretary in the Ministry of Water, Prof Kitila Mkumbo, Permanent Secretary Ministry of Energy, Zena Saidi and the executives from water and energy regulatory institutions including the Tanzania National Electricity Corporation (Tanesco), the Rural Electricity Agency (REA) and the Mwanza Urban Water Supply and Sanitation Authority (MWAUWASA).