AfDB funds road construction project in Rwanda

AfDB funds road construction project in Rwanda

 Road construction project in Rwanda gets major boost

US$184m loan has been released from African Development Bank (AfDB) and other financial bodies to boost road construction project in Rwanda, the country’s Transport Ministry officials have announced.

Japanese government and European Union (EU) are also part of the financiers of the 300 kilometer road construction project in Rwanda that will cover Kagitumba- Kayonza to Rusumo.

The AFDB gave $94 million while Japan gave $68 million. The remaining fund was given by European Union.

The AfDB loan will be repaid in 40 years at 0.75 % interest rate while the repayment of the Japanese loan will be at an interest of 0.01 % . All partners will exonerate Rwanda from paying the interest rate for 10 years.

While signing the major agreement the minister of economic and finance, Claver Gatete said the funds will be utilized well and will ensure that the roads are improved to meet the world standards.

“Once the road construction project in Rwanda is complete the cross border trade will be on top as now goods will be easily transported to our neighboring courtiers” he added

In the same event, representative of AfDB to Rwanda, Negatu Makonnen, said they are looking into ensuing that the brings change to the country and they are always supportive to the country’s development agenda.

The Japanese ambassador to Rwanda, Takayuki Miyashita added that the loan is one of the biggest ever received by Rwanda from their side and they look forward in ensuring it is used for the intended purpose.

Quest for roads

In recent years, Rwanda has embarked on an ambitious plan aimed at constructing major roads in the country to enhance connectivity.

Mid this 2016 the country kicked off the construction of a mega road estimated to cost a whopping US$ 128m.

The road that is being constructed by NPD COTRACO company will traverse Burera district towards the Cyanika border between Rwanda and Uganda and will be divided into sections, from the base sector to the district office it’s about 25km and from the district to Butaro hospital it is about 14km, the rest is from the hospital to Kidaho sector at Cyanika border.

 

NO COMMENTS

LEAVE A REPLY