Goodall tables K16bn road bill
Minister of Finance, Economic Planning and Development Goodalll Gondwe has tabled a bill asking Parliament to authorise government to borrow $40 million (about K16 billion) from the International Development Association (IDA) of the World Bank to rehabilitate some sections of the North-South Corridor.
The North-South Corridor in Malawi starts at Songwe border in Karonga in the Northern Region to the Mwanza border in the Southern Region heading into Mozambique.
On Tuesday, Gondwe informed the House that through the loan, 40 kilomtres (km) between Karonga and Songwe would be rehabilitated, 60 km between Bwengu and Chiweta and 150 km stretch between Lilongwe and Kasungu.
Apart from rehabilitating the sections of the road, the World Bank-funded Trade and Transport Facility Programme would also be used to buy road safety equipment for the Malawi Police Service (MPS). The equipment includes breathalysers and conducting of baseline survey on the use of seatbelts on the roads of Malawi.
Said the minister: “On the trade facilitation aspect of the project, some of the funds will be used to reduce lengthy border procedures by assessing the possibility of a single window facility and assess the feasibility of upgrading border traffic control and upgrading border facilities.”
The programme would be implemented by Malawi Revenue Authority (MRA), Roads Authority and Ministry of Trade and Industry.
The loan has a 0.75 percent service charge per year and would be repaid over a 40-year-old period with a 10-year grace period, according to Gondwe.
Reacting to the bill, Malawi Congress Party (MCP) spokesperson on finance Kusamba Dzonzi asked government to consider prioritising water and rail transport which is cheaper for the consumer as well.
