Bank gives $210m for Tanzania road upgrade

Monday, 05 August 2013 05:53 Kenan Kalagho, EAST AFRICAN BUSINESS WEEK, KAMPALA, UGANDA

DAR ES SALAAM, TANZANIA - Tanzania has received funds from the World Bank for improvement of infrastructure as part of the Southern Africa Trade and Transport Facilitation Project.

(Road being upgraded in Dar, the WB funds for is aimed at reducing the cost of transportation in the country, Photo By Kenan Kalagho)The World Bank International Development Association (IDA) is giving $210 million ( about Tsh344.6 billion ). Most of the money will be used to upgrade the 140 kilometre Mafinga-Igawa highway, covering the two regions of Iringa and Mbeya.
Speaking during the signing ceremony in Dar es Salaam last week, the Minister for Finance Dr. William Mgimwa said the funds will also help to improve the Songwe-Kasumulu border roads making it easier for the movement of people and goods between Tanzania and neighboring countries. A one stop border post is being planned to effect this improvement.
“We are in need of developing our infrastructures to facilitate the movements of goods and people along the North-South corridor to enable the nation become a dependable transport and logistics hub to our neighbouring countries,” Dr Mgimwa said.
“We would want Tanzania to open up doors for other countries to use the available trade routes linkages in order to improve the economies within the region,” Dr Mgimwa said. He said this will further cement the integration process within the African regional member states.
He said infrastructure improvements will not only aim at strengthening trade relations in the East African region but also in the SADC, to which Tanzania is also a member. Dr. Mgimwa hoped this would later improve both the export and imports of goods and services.
Dr Mgimwa said some of the money will also be used in improving road safety and traffic conditions by conducting road safety audits and capacity management reviews in a bid to curb the impact of HIV/Aids.
The minister said that all the government institutions including the Tanzania Commission for Aids (TACAIDS), Tanzania Revenue Authority (TRA), Tanroads and the Ministry of Health and Social Welfare would be involved in designing the best ways of implementing the project.