Posted on February, 11, 2022 at 08:05 am
The African Development Bank Group (AfDB) has committed to increasing its investments in Tanzania to support the country's development vision 2025.
AfDB President Dr Akinwumi Adesina pledged that at the laying of the foundation stone for the construction of 112.3 kilometres Dodoma City Outer Ring Road, which is co-financed by the bank.
"Today, the AFDB has a portfolio of investments of 2.5 billion US dollars (about 5.8tri/-) in Tanzania. I'm glad to tell you that the bank's portfolio has grown from 1.5 billion US dollars (about 3.5tri/-) to 2.5 billion dollars (about 5.8tri/-) in the last six years, which is a significant rise," he said.
He added, "AfDB is happy to be the primary financier of the Dodoma City Outer Ring Road project, which has total funding of 215 million US dollars (about 500bn/), of which, the bank has supplied 64 per cent of this or 137.3 million US dollars (317bn/-). The government of Tanzania's contribution is 34.5 million (about 79.7bn/-), while an additional 41.8 million US dollars (about 94.8bn/-) comes from the Africa Growing Together Fund, financed by the People's Bank of China."
Dr Adesina went on to say that the project will be a world-class infrastructure that will generate enormous economic activity in and around Dodoma, as well as connect Tanzania to Burundi, Rwanda, Uganda, and the Democratic Republic of Congo (DRC).
According to the AfDB president, the project's main purpose is to help Tanzania achieve more inclusive and sustainable economic growth by developing critical transportation infrastructure that contributes considerably to the country's poverty reduction efforts.
The project's goals are to give Dodoma City, the rest of the country, and neighbouring nations in the EAC area-efficient road transportation.
"Today marks the laying of the foundations of a transformation road that will change the country's future, one that will speed regional integration, enhance trade and competitiveness, and better connect Tanzania to the rest of Africa," said Dr Adesina.
"Today, we are witnessing the strength of persistence in the pursuit of a goal to transform Tanzania, to construct a modern, well-connected, and prosperous Tanzania," he said.
He had earlier congratulated President Samia Suluhu Hassan on becoming Tanzania's first female President and currently Africa's only Executive President. He stated that Samia makes them extremely proud as when women win, Africa wins.
"You are carrying on the tremendous work that you and late President John Magufuli started together, as well as the dream that you both had for Tanzania: prosperity, peace, rapid economic progress, and a beacon of hope in Africa," he stated.
The AfDB President began a three-day official visit to Tanzania on Monday. The visit signals strong ongoing support by the pan-African lender for transformative infrastructure in the country.
Tanzania, a founding member of the African Development Bank, enjoys one of the largest Bank portfolios in the East Africa region. In January 2022, the Bank's active portfolio consisted of 23 operations valued at 2.5 billion US dollars (about 5.8tri/-).
Infrastructure accounts for 87 per cent of the portfolio value, out of which transport covers 62 per cent, followed by energy (16 per cent), and water supply and sanitation (9 per cent). Agriculture, finance, and multi-sector make up 13 per cent of the portfolio. Sovereign operations totalled 2.32 billion US dollars.
Source: Daily News