“The grant components include the financing of one of the two new green ferries, completion and widening of Bond road access to the Port of Banjul, preparation of a new integrated national transport master plan under the Ministry of Transport, Works and Infrastructure, capacity development of the Ministry of Transport, Works and Infrastructure, and climate resilience and gender mainstreaming in the project,” he said.
When asked if this will create employment, he responded positively saying: “It is not only going to create employment but it will sustain the current employment portfolio and outlay the ones we have at the Port of Banjul.”
He said the Port Expansion Project is being implemented with the signing of a concession agreement on 11 July 2024 for a public-private partnership where the private investor is committed to infrastructural improvements in the Port of Banjul for six years commencing from 10 January 2025.
He added that the concession agreement also includes the construction of a new deep seaport in Sanyang for over a period of 30 years.
He further stated: “The private investor is required to commit minimal investment or infrastructure improvements in the Port of Banjul and manage the port for six years under an equity shareholding arrangement with effect from the 10th of January 2025.
“The concession agreement also includes the construction of a deep seaport in Sanyang for a period of 30 years under a finance, build, manage, operate, maintain, and transfer back to the government at the end of the contract.
“The highlights of the concession agreements are the Gambia government and the Gambia Ports Authority will hold 20% equity in the Special Purpose Vehicle (SPV).”
He added that the Gambia government and Gambia Ports Authority would receive percentage of the gross revenue as its share. “The investor will invest to improve efficiency measures in Banjul in six years. The net profits in Banjul will be put in an escrow account as reserve funds,” he clarifies.
“The reserve funds will be earmarked for investment in the Sanyang deep sea port. All staff currently involved in the operations will be maintained by Al-Barak Group, which is the concessionaire. The Gambia Ports Authority will have seats or a seat at the board and management of the project company.”
He also stated that “there will be no financial contribution from the Gambia government and the Gambia Ports Authority as investor bears own financing risk”.
He said the “drafts in the channel at Sanyang port will be 12 meters”, which is an improvement from Banjul that currently has only 9.3 meters. “There will be lower overall cost of doing business with capacity increases at the deep seaport,” he added
Deeper draft vessels will call Sanyang attracting lower freight charges, he explained, saying the Gambia government and the GPA will receive payments in the forms of dividends as shareholder. “The Gambia government and the Gambia Ports Authority will benefit from the improved port infrastructure that will be built,” he stated.
