Tanzania, World Bank in partnership to boost economy
The World Bank has agreed to a USD 2.4 billion concessional loan for Tanzania which will enable the East African country to address failing infrastructure in the country and turn it into a bustling trade hub.
The organisation’s Group President Dr. Jim Yong Kim made the announcement in March during a three-day visit to the country. He supported Tanzanian President John Magufuli’s plan to move forward with robust development around the country’s public transport system, and service delivery in the areas of education and water and sanitation.
Massive upgrades to the Ubungo junction in Dar es Salaam, are expected to begin without delay. The intersection is notorious for its high traffic flow of an estimated 65,000 vehicles per day. The roadway is also the most convenient route for neighbouring countries like Zambia, Malawi, DR Congo, Burundi, Rwanda and Uganda, who use the route to access the only seaport available to them. The construction upgrade is expected to take an estimated three years to complete.
Tanzania will also install and maintain a rapid transit bus system and an urban transport project in its commercial capital. The second phase of a water and sanitation project is also expected to be completed and dire attention will be given to education.
Government says it is simultaneously exploring the feasibility of upgrading its railways as it recognises that it has not fully tapped the potential for an economy-boosting oil trade.
According to Reuters report, big gas finds in Tanzania and oil discoveries in Kenya and Uganda have turned east Africa into an exploration hotspot for oil firms. Poor transport infrastructure, however, provide an unattractive hurdle forcing investors to look elsewhere.
Watch what the new Ubongo Intersection will look like after its upgrade.