AfDB provides $70.5m financing for Tanzania’s power sector reform, governance support programme

The African Development bank (AfDB) has provided an amount of $70.5 million financing for Tanzania’s power sector reform and governance support programme, the Bank has said in a press release issued in Abidjan, Ivory Coast and copied to ghanabusinessnews.com.

According to the release, the Permanent Secretary in the Ministry of Finance of the United Republic of Tanzania, Servacius Likwelile and the AfBD’s Vice-President, in charge of Agriculture, Water, Human Development, Governance and Natural Resources, Aly Abou-Sabaa signed the loan agreement on May 27 in Abidjan.

The fund will finance the Power Sector Reform and Governance Support Programme (PSRGSP) in the country, the release said, adding that it will boost the government’s efforts to implement energy-sector and related reforms, particularly, strengthening the institutional framework and operational efficiency of the power sector; enhancing competition and private sector participation in the power sector; and improving governance.

Since the beginning of its operations, the Bank Group’s portfolio in Tanzania comprises 27 operations, with a total commitment of UA 993 million (approximately $1.3 billion), in infrastructure, agriculture, human development, private sector and multi sector, including budget support. With this new operation, the portfolio has now increased to over UA 1 billion.

By Emmanuel K. Dogbevi