HARARE Zimbabwe is negotiating with a Chinese bank for a US$145 million concessionary loan to finance the construction of a new Parliament building, Finance Minister Tendai Biti announced last week. (Pictured: Chinese bank could fund construction of new Parliament building.)Cash-strapped Zimbabwe plans to construct a new parliament building to cater for extra members of parliament and senators elected last year.
A Chinese company Nantong International has been contracted to oversee the project.
Negotiations are underway to secure concessionary funding of US$145 million from the China Eximbank to finance the construction of the new Parliament building, Biti announced during a presentation before the parliamentary portfolio committee on budget, finance and investment promotion last week.
Under constitutional amendments passed in January last year, the number of MPs was increased from 150 to 210 while the size of the senate was expanded from 66 to 84 senators.
Construction of the new state-of-the-art Parliament building, which would be located in the Kopje area of Harare, has been delayed by lack of funds.
The funding for the new Parliament building is part of the more than US$2.4 billion being sought by Zimbabwes coalition government from China Eximbank this year.
China Eximbank has reportedly also shown interest in availing US$629 million for procurement of 639 000 metric tonnes of fertilizer for the forthcoming 2009/10 farming season as well as acquisition of agricultural equipment.
Negotiations on this facility are underway, Biti told the
parliamentary committee.
Arrangements are also underway for Harare to secure US$404 million under the Chinese preferential and buyers credit facilities for the rehabilitation of water supply and sewer treatment systems as well as procurement of water development equipment.
Cash-strapped Zimbabwe is also negotiating an US$825 million facility with China Eximbank for the rehabilitation of road, telecommunication and transport infrastructure.
Part of the facility would go towards the upgrading of the Victoria Falls Airport, nationwide road rehabilitation and upgrading of the telecommunications system.
Chinese assistance is also being sought for a project to augment Zimbabwes electricity generation capacity.
Government has submitted a request for funding to the tune of US$460 million for Kariba South Bank extension and procurement of prepaid electrical metering equipment under the Chinese concessionary funding facility, Biti revealed.
The Zimbabwe Electricity Supply Authority (ZESA) has since the beginning of the year gradually reintroduced the pre-paid billing system as part of efforts to improve revenue collection and power supply.
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