Dar es Salaam. A dispute over shares between the National Social Security Fund (NSSF) and Tanzania Azimio Construction Co. over the real estate project in Kigamboni has cited as the major cause for delay in implementation of a 7,160-house project at Dege Beach in Kigamboni District.
This was revealed after the Parliamentary Public Accounts Committee (PAC) members yesterday toured the project to inspect its progress.
The contract between the two entities shows that, the Tanzania Azimio Construction Co., which provided 300 hectares for project, owns 55 per cent of the shares while NSSF which has invested over $500 million owns 45 per cent of shares.
However, NSSF director-general Godius Kahyarara revealed that at least 3,750 houses were already constructed as part of the project.
He revealed that the project, whose investment cost was around $544 million, would not have been completed come end of 2018 as it was expected due several inconsistencies.
For her part, Special Seats MP and member of PAC, Ms Shaly Raymond (Kilimanjaro Region) observed that the delay of the project would cause an increasing of investment cost from $500 to $700 million, wondering who would be responsible in footing the difference.
In the same vein, the PAC members wanted to know the reason why the investor was not present during the meeting, this comes after, the director of the Tanzania Azimio Construction Co. did not attend the meeting.
“See! The investor is not here,” adding, “can you tell us where are the other officers?” Ms Raymond questioned NSSF director-general Prof Kahyarara during the meeting.