GOVERNMENT has procured a loan of $241 million for the design, rehabilitation, upgrading and construction of Lusaka roads under the L400 project.
Chief government spokesperson and information minister Dora Siliya stated in a statement this afternoon following the third Cabinet meeting held on Monday at State House that President Edgar Lungu and his Cabinet agreed to continue with infrastructure projects countrywide as the government was aware that it was through such projects that economic progress could be achieved.
“Cabinet approved the financing of selected roads in the Lusaka City (commonly called the Lusaka 400). An amount of US$ 204,940,174.80 has, therefore, been approved by Cabinet to support the engineering design, rehabilitation, upgrading and construction of selected urban roads in the City and Province of Lusaka, Zambia Project. Therefore, a total of US$ 241,106,088.00 of which 85 per cent (US $204,940,174.80) will be provided by the Export-Import Bank of China while the 15 per cent (US$ 36,165,914) will be provided by the Industrial Commercial Bank of China,” Siliya stated.
“The general scope includes periodic maintenance, rehabilitation (gravel to paved and single lanes to double lanes) and new construction of approximately 400 Km roads, construction of 1 grade separated junction, construction of 90 Km of walkways and re-engineering of 10 junctions in the City of Lusaka project. With this project, the face of Lusaka City is expected to change completely as has been the case with key roads such as Chilumbulu; Burma; Nationalist; the Matero/Lilanda; Old Mumbwa Road and many others in townships. Cabinet further, emphasised the need for all road projects under this project to include drainages and street lighting.”
She stated that Cabinet also approved the engineering design, rehabilitation, upgrading and construction of approximately 152 Km of Selected Township Roads in Kitwe, Chingola and Mufulira in Copperbelt Province – Lot 1 Project.
Siliya stated that Cabinet approved a total amount of US$ 197,391,777.85 to finance the implementation of the engineering design, rehabilitation, upgrading and construction of approximately 152 km of selected township roads in Kitwe, Chingola and Mufulira in Copperbelt Province dubbed, the Lot 1 Project.
She stated that the project also included walkways, street lighting and traffic lights at selected junctions.
Siliya stated that like the L400, the project would also involve the putting up of drainages.
“A total of US$ 232,225,621.00 of which 85 per cent (US$ 197,391,777.85.) will be provided by the Export-Import Bank of China while the 15 per cent (US$ 33,833,843.15) will be sourced by government to ensure a complete implementation of this important project for the Copperbelt Province. Government believes that improving the road network on the Copperbelt Province will facilitate greater economic activity,” Siliya stated.
“This is an important project for the Copperbelt as it will result in the improvement of roads, decongestion of the current road network and improved accessibility to more areas, spurring further investment, economic activities, general development and improved living standards for the people on the Copperbelt.”
She stated that Cabinet had also approved implementation of the electricity service access project, the support from International Development Association (IDA) which amounts to US$ 27,972,919.06.
Siliya stated that government had identified the electricity service access project as a priority project with the main objective of increasing the country’s electricity access in the Zambia’s targeted rural areas.
She stated that Cabinet had also approved the appointment of two government officials on the National Prosecution Authority Board.
Siliya stated that there had been a vacancy in the position of Vice-Chairperson of the Board for the authority and in the position of a member appointed as a representative of the ministry responsible for labour due to staff movements within the ministries responsible for Justice and Labour.
She further stated that Cabinet approved in principle to the introduction of a Bill in Parliament that would provide for the conversion of Medical Stores Limited into a Statutory government agency.
“Currently, Medical Stores Limited is being supervised by the Industrial Development Corporation (IDC) as majority shareholder (98 per cent) and Ministry of Health holds 2 per cent of the shares. Continued placement of Medical Stores Limited under the IDC implies that it will be considered as a profit-oriented entity which is contrary to its mandate. Furthermore, MSL is a grant-aided institution with all its income coming by way of a grant from the Treasury and from Cooperating Partners,” she stated.
Siliya stated that Cabinet also approved the introduction of a Bill in Parliament to repeal and replace the National HIV/AIDS/STI/TB Council Act, No. 10 of 2002.
“During the meeting, Cabinet took note of the information in the brief by the Minister of Finance on the performance of the economy. His Excellency the President and his Cabinet agreed in the past meetings that it was important that the Minister of Finance keeps updating Cabinet on the economic outlook in order to, among other things, check the progress the Patriotic Front government was making in the implementation of policies and where possible, which remedial measures should be taken in order to continue to serve the people of Zambia better as promised. The Minister of Finance in her brief highlighted that: GDP growth continued on a positive trajectory, though at a slower rate than earlier projected; inflation was contained within the projected band of six per cent-8 per cent at 6.1 per cent; relative stability was achieved in the exchange of the kwacha against major trading currencies; the preliminary budget deficit at 6.1 per cent was contained below target of 7per cent;” Siliya stated.
“…the external sector improved as the current account deficit narrowed to US$760.3 million from US$1.037 billion in 2016; and the 2018 outlook shows continued positive growth and macroeconomic stability although risks remain related to financing of the budget, adverse weather and health conditions. The Meeting also expressed the need for government to quickly rehabilitate economic roads such as the Chingola / Solwezi; Kafue / Mazabuka and Lusaka / Mongu roads which were currently in bad state.”
And Siliya stated that President Lungu and Cabinet regretted the loss of lives of six children who drowned in Central Province.
She stated that Cabinet wished all the bereaved families heartfelt condolences and God’s help and guidance during this mourning period.
Read this article from the original source: Govt Gets $470m Loan From China for Lusaka, CB Roads.