At
a side meeting during the Islamic Development Bank Group (37) Annual Meeting
held in Khartoum, Sudan, the Gambia government and the Arab Bank for Economic
Development (BADEA) recently signed a loan agreement worth US$ 9 million US
dollars to participate in the financing of the Kotu generation plant expansion
project.
A news release from the ministry of Finance and Economic Affairs in Banjul announced that the loan, which is to be repaid over a period of 30 years, includes a grace period of 10 years, and has an annual interest rate of 1 percent.
It said the Kotu Power Generation Expansion Project will add to the much-needed generation capacity of the Greater Banjul Area by adding 11MW to the estimated 100MW generation capacity of the GBA system, thus helping to reduce power outages, and providing access to power to un-electrified communities.
“The type of engine (slow speed, two stroke, Heavy Fuel Oil (HFO) fired engine) to be provided by the facility will also make the power supply system more stable and reliable.
“The implementation of this project fits well Government’s policy in the energy sector, which aims at developing an efficient, reliable, and affordable supply of energy which can help promote investment and create an enabling environment for socio-economic development,” the release added.
Hon. Mambury Njie, minister of Finance & Economic Affairs signed on behalf of The GambiawhileAbdelaziz Khelef, Director General signed for BADEA.
The minister was accompanied to the meetings and signing by the permanent and deputy permanent secretaries, at the ministry, the Governor and the Director of Research at the Central Bank of The Gambia, as well as senior officials of NAWEC and the Gambia Civil Aviation Authority, GCAA.
The Gambian minister of Finance used the occasion to thank Mr. Khelef, and staff of BADEA for the support they continue to give The Gambia, worth over a US$ 100 million and spanning over three decades of cooperation.
BEDEA DG Khelef for his part pledged continued bank support to The Gambia given Gambia’s excellent track-record of meeting her obligations and management of funds granted it.
The DG looked forward to strengthening the already excellent cordial partnership in fulfillment of both the bank’s and the government’s mandates.
The Gambia delegation also used the opportunity of the forum to discuss with the bank staff issues affecting ongoing projects, as well as pipeline projects submitted for financing in the coming years.
The authorities of the ministry of Finance & Economic Affairs on behalf of President YahyaJammeh, the government and people of The Gambia expressed appreciation to BEDEA for being a valued development partner, and assured them of readiness for continued cooperation for the benefit of the Gambian people.
