The acting Division Manager East and South for the Arab Bank of Economic Development in Africa (BADEA), Hany Fahmy, says the visit of four-man delegations to Sierra Leone, was a demonstration of the Bank $25 million United States dollars loan commitment to fund the 42.5km Kpetema-Mattru Jong road project in Sierra Leone, which is expected to be completed by end of 2024.
He made this statement at the two-day construction project launch workshop for support to the Tinkonko-Kpetema-Mattru Jong road project funded by the Bank in Freetown on 21st -22nd October 2021. The visiting team includes the Senior Legal Counsel, the Disbursement Officer, the Head of Infrastructure Unit, and the Bank acting Division Manager, all from the East and South Africa offices.
According to the loan agreement conditions, it will be disbursed in two tranches includes, including $20 million United States dollars in the first tranches, and $5 million United States dollars, which is expected to be repaid within 19 years, and has a 7-year grace period, with an interest rate of 1.5 percent per year on the disbursed amount. The second tranches will cover a loan period of 25 y
The second tranches loan in the second tranche 7-year grace period, with an expected repayment period of 19 years, and a grace period of 6-year, with an interest rate of 2.5 percent per year on the disbursed amount.
BADEA acting Division Manager East and South said they are pleased with the warmed reception accorded them from government, the ministries of Finance, Works, Transport and Aviation, and the Sierra Leone Roads Authority (SLRA). He says the Bank was established following the decision of the Arab summit held in Algeria, in 1973, but commenced operations in March 1975, with its headquarters in Khartoum.
Fahmy says the total number of loan withdrawals and technical assistance operations the Bank had signed with Sierra Leone since the beginning of its relations with BADEA amounted to about $63.05 million United States dollars. He says despite that, Sierra Leone is yet to withdraw an amount estimated at 449.136 million United States dollars but expressed, “BADEA will be proud to continue its cooperation with Sierra Leone and to take part in developing the economy of Sierra Leone.”
The Bank Senior Legal Counsel, Ahmed A. Tageldin, says as per the provisions of the loan agreement, the borrower shall among other obligations carry out its part of the project under the Project Description as laid in schedule 1 of the Loan Agreement, and the budget as laid out in schedule 2 of the Loan Agreement.
He says government must ensure that all equipment, services, and other works for the project are procured in line with procurement guidelines agrees between the government and BADEA, and that, the project is implemented and operated in conformity with all applicable Environmental Laws, and best international practices.
The Minister of Works and Public Assets, Peter Bayuku Konteh, says much attention has been paid to the road sector by this government because they believed that “good roads propel economic development,” which led them in collaboration with SLRA and key stakeholders to conduct studies on the 13-cable ferry crossing to modern bridges across the country, along with feasibility studies on 2,000 km roads.
The Minister says the government has received unsolicited proposals from credible investors who wish to invest in the upgrading and reconstruction of some strategic roads on a pre-financing model through a long-term partnership agreement between the government and the private sector. He says the World Bank has consented to construct four of the 13 bridges nationwide.
Minister Konteh on behalf of the government thanked BADEA for their unflinching financial support to improving the livelihood of the people of Sierra Leone, against which he says, the government considers BADEA as a strategic partner and shall therefore continue to engage the Bank in the country’s development aspirations, as he assured of government commitment in the area of creating enabling environment for investment and partners.
BADEA reps, and SL government officials
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