World Bank, AFD agree loans for East Africa power pool project
Tanzania has received $465 million from the World Bank for its power interconnector project with Zambia, while Kenya signed a $179 million loan with French development agency Agence Francaise de Developpement (AFD), breathing new life into the region's power pool projects which, once complete, will link more than ten countries.
A $455 million loan to Dar es Salaam for the Tanzania-Zambia Transmission Interconnector Project is expected to help increase power transmission capacity in the country's southern regions and strengthen institutional capacity.
A further $10 million grant will go towards the East Africa Power Pool for boosting regional power trade.
Tanzania will start receiving the funds next year over a five-year period - starting with $27.55 million next year rising to $60.27 million the following year; $80.28 million in 2021; $88.77 million the year after; $97.26 in 2023 and a final disbursement of $110.88 million in 2024.
AFD is also expected to release $100 million for this project, while the European Commission will offer $30 million, of which $10 million will be a grant.
