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Tanzania, Japan sign Sh52.2bn flyover deal

Finance minister William Mgimwa (centre) and Japanese ambassador Masaki Okada sign a grant agreement in Dodoma yesterday for the construction of a flyover at the junction of Nyerere Road and Mandela Expressway in Dar es Salaam. Left is Works minister John Magufuli. PHOTO | FIDELIS FELIX

What you need to know:

  • Speaking after the agreements were signed, Dr Mgimwa thanked the Japanese government for extending the loan which will attract 0.01 per cent interest.

Dodoma. Construction of a flyover at Dar es Salaam’s Tazara junction flyover is set to begin any time after Tanzania and Japan signed a Sh52.2 billion grant agreement yesterday.

The Japan International Cooperation Agency (Jica) says the project will be completed in 2017, but Works minister John Magufuli requested that the construction period be shortened to two years.

“I’m asking this because I know Japanese contractors are able to complete this project within that time,” Dr Magufuli said soon after Finance minister William Mgimwa and the Japanese ambassador to Tanzania, Mr Masaki Okada, signed the agreement.

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The two countries also signed a Sh25.2 billion agreement for the tenth Poverty Reduction Support Credit (PRSC-10). The money will be made available through the General Budget Support.

Speaking after the agreements were signed, Dr Mgimwa thanked the Japanese government for extending the loan which will attract 0.01 per cent interest. The loan will be paid for 30 years after a 10-year grace period.

He noted that the Tazara flyover at the junction of Nyerere Road and Mandela Expressway would have a big impact on the economy because it was aimed at reducing congestion in Dar es Salaam.

“We all know that the city of Dar es Salaam is the starting point for all transport systems, including road, rail, air and maritime transport systems. It is a truly strategic point for transport in Tanzania. In this regard, alleviating traffic congestion has huge potential to contribute to our national economic growth,” said Dr Mgimwa.

Mr Masaki said the flyover would help to alleviate traffic jams in Dar es Salaam as well as upgrading the road network in the country.

For his party, the Jica chief representative in the country, Mr Yasunori Onishi, requested the government to ensure that the assistance is used effectively.

In another development, Dr Magufuli ordered the Tanzania National Roads Agency (Tanroads) CEO, Mr Patrick Mfugale, to demolish all structures that were on the reserve of Ali Hassan Mwinyi Road from Morocco to Mwenge, Dar es Salaam, ahead of the stretch’s upgrading into a dual carriageway.

Dr Magufuli said since all those who were supposed to be paid had been compensated, there was no need to delay the demolition in order to give the contractor time to begin the work.

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