South Korea to build a $109 million bridge in Tanzania
The business environment in Tanzania is continuously improving, with businesses being projected to experience rapid growth.The heightened development of infrastructure projects within the country is a major development, not only due to its economic impact – but its associated impact in transforming the ease of doing business in the country. Infrastructure continues to be priority sector within most East African countries.
In this view, Tanzania and a South Korean firm have signed a deal for the construction of a $109 million bridge. The bridge will decongest traffic snarl-ups in Dar es Salaam and enhance the transport sector. It will shorten the time spent on roads due to hectic traffic jams, and as such, boost service delivery. This development will further increase FDI into the country (Foreign Direct Investment).
South Korea has continued to fund a number of projects in Tanzania and their presence in the East African nation has been pivotal – in fostering private sector growth. The signing of the deal further enhances the two nations bilateral relationship.
The project will be completed by – 2020. The Government will cover approximately 17% of the required funds, while Exim Bank of Korea will cover the remainder.
Source: African Strategic-Ventures (ASV) & The Exchange.