KWA MAWASILIANO ZAIDI: E-mail: yusuf.badi2@gmail.com.

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TANGAZO

Thursday, August 1, 2013

STATEMENT BY HON. DR. WILLIAM A. MGIMWA, MINISTER FOR FINANCE, MINISTRY OF FINANCE, AT THE SIGNING CEREMONY OF A LOAN AGREEMENT BETWEEN THE GOVERNMENT OF THE UNITED REPUBLIC OF TANZANIA AND THE INTERNATIONAL DEVELOPMENT ASSOCIATION (IDA) HELD ON 30TH JULY, 2013 AT 12:00 NOON AT THE TREASURY IN DAR ES SALAAM.



Mr. Philippe Dongier,
World Bank Country Director for Tanzania, Uganda and Burundi,
Ladies and Gentlemen:

1. Mr. Country Director, please allow me, on behalf of the Government of the United Republic of Tanzania to express my gratitude for this opportunity of signing with you today, a Loan Agreement in the amount of US$210 million (TZS 344,610 Billion Equivalent) to support the implementation of the Southern Africa Trade and Transport Facilitation Project (SATTFP) Phase.

Indeed, the Government appreciates the World Bank’s continued support in the transport sector. This support has come at a time when the Government is in critical need of implementing interventions to facilitate the movement of goods and people along the North-South corridor (NSC) to enable Tanzania to become the Transport and Logistic Hub of its neighboring countries.
This event once again evidences the commitment and important role that the World Bank plays in the social and economic development in Tanzania.

I wish to take this opportunity on behalf of the Government and people of Tanzania to express our gratitude for this continued support.

2. Mr. Country Director, the proceeds of the Loan we have signed today will complement domestic resources for the implementation of activities that will contribute to economic development of the people of Tanzania.

As you well know, the project development objectives of the Southern Africa Trade and Transport Facilitation Project (SATTFP) Phase 1 is to facilitate the movement of goods and people along the Dar Es Salaam Corridor, whilst supporting improvements in the services for HIV/AIDS and road safety. In addition, the project will also support regional integration efforts in both the SADC and East African regions.

In order to achieve the above objectives, the project will be implemented through the following key components:

Component I: Improvement of Physical Infrastructure:
This component has three subcomponents, involving:
(i) Upgrading and rehabilitation of approximately 140 km of the Mafinga-Igawa highway road section along the Dar Es Salaam Corridor and of related access roads.

(ii) Improvement of the Songwe-Kasumulu border post in order to establish a one-stop border post, including implementation of the recommendations of a diagnostic review, the establishment of a border committee, review and update of the border legal framework, rehabilitation of the relevant infrastructure, provision of equipment, preparation and implementation of the related safeguards instruments, monitoring and evaluation of the progress achieved.

(iii) Preparation of design studies and related construction of three consolidated inspection stations along the Dar Es Salaam Corridor, being one at Vigwaza, and each including a weighbridge, a police and customs checkpoint and a wellness center.

Component II: Mitigation of Social Costs
Component II focuses on mitigation of social costs and will involve implementation of activities to improve road safety and traffic conditions along the Dar Es Salaam Corridor, including conducting a road safety audit and a capacity management review, provision of advisory services, preparation of design studies and implementation of related road interventions.

In addition, this component will also involve implementation of a program aimed at reducing the  spread and impact of HIV/AIDS and other STDs infection among communities along the Dar Es Salaam Corridor, including rehabilitation and provision of equipment and advisory services to lower level health care facilities and strengthening the capacity of the relevant personnel.

Component III:Implementation Assistance and Institutional Support

In order to ensure effective project implementation, the third component of the project will focus on provision of advisory services, training and operational support required to sustain management and coordination of Project implementation activities including audits and implementation oversight.

This component will also involve activities designed to improve transit and transport services in order to facilitate trade conditions along the Dar Es Salaam Corridor, including updating of the 2008 urban master plan for Dar Es Salaam, provision of equipment and vehicles to traffic agencies and provision of training and technical advisory services to customs brokers and to the relevant personnel at TANROADS, the Tanzania Revenue Authority, Ministry of Transport, Ministry of Works, TACAIDS, and Ministry of Haelth and Social Welfare.

3. Mr. Country Director, the preparation of this Loan from design stage up-to this signing stage has involved many people and long hours of hard work to discuss and negotiate the various aspects and provisions of the Loan Agreement and project document.

On behalf of the Government of the United Republic of Tanzania, allow me to thank you personally for your efforts in ensuring that the process was successful and concluded in time. I also want to thank all other people who were involved in the process who worked so hard in order to make it possible for this agreement to be signed today. It is my sincere hope that this spirit of hard work and partnership is going to be sustained.  

Finally, let me conclude by re-affirming the commitment of the Government to utilize the proceeds of this credit for the intended purpose. Further, I also want to reassure you of our continued commitment towards strengthening the partnership and friendly relationship between Tanzania and the World Bank.

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