On Wednesday the 19th of February 2014, Honourable Minister Saada Mkuya Salum (Ministry of Finance) and Honourable Lilianne Ploumen, Dutch Minister for Foreign Trade and Development Cooperation, signed a grant arrangement on behalf of their respective governments for a project to rehabilitate the Kilimanjaro International Airport (KIA), including its aprons, taxiways and terminal building.
Minister Ploumen is visiting Tanzania with a business delegation of over 30 Dutch companies active in the fields of oil & gas and maritime infrastructure looking for investment opportunities in Tanzania.
The objective of the KIA project is to stimulate traffic, increase safety, security and operationalefficiency (to continue to meet the required international standards) at KIA. Not only will thiscontribute to the strengthening of the tourist sector in the northern Tanzania, but it will also give an impetus to further economic development in the region, as it provides a boost to the infrastructure in the north of Tanzania.
The total value of the project is expected to be TZS 79 billion (EUR 35.5 million), of which TZS 33.4 billion (EUR 15million) will be funded by the Netherlands through its ORIO infrastructure facility and the remaining TZS 45.6 billion (EUR 20.5 million) will be financed by the Tanzanian Government.
The Dutch Government already financed 100% TZS 891 million (EUR 0.4 million) of the Development (design) phase of the project which was carried out by NACO-SSI Airport Consultants. The signing oft his grant arrangement is the starting point for the project’s implementation phase.
The KIA-project is one of four ORIO-projects in Tanzania. Other projects include the construction of power grids in Ngara, Biharamulo and Mpanda, total cost TZS 73.5 billion (EUR 33 million); the rehabilitation of 37 hospitals on Tanzania Mainland, total cost TZS 51.2 billion (EUR 23 million) and the enhancement of maternal and pediatric services at Mnazi Mmoja Hospital and 21 Primary Health Care Units in Zanzibar, total cost TZS 20 billion (EUR 9 million).