Chinese airport loan still being discussed
The finance ministry is still reviewing China’s offer to finance up to 90% of the upgrade of the Hosea Kutako International Airport.
OGONE TLHAGE
WINDHOEK
A loan offer made by the Chinese government to Namibia has still not been accepted and is still being reviewed.
The Chinese government has offered to finance up to 90% of the upgrade of the Hosea Kutako International Airport. The loan offer has been rolled out as part of the Chinese government’s Belt and Road initiative, in which US$60 billion is being rolled out for transport infrastructure around the world.
The ministry’s spokesperson, Tonateni Shidhudhu, said the loan was being reviewed.
“The ministry of finance is undertaking consultations with the relevant stakeholders in government before the loan agreement is signed,” he said.
Grandiose project halted
Anhui Foreign Economic Construction Corporation (Anhui) was awarded the N$7 billion airport tender advertised by the Namibia Airports Company.
The contract was cancelled in December 2015.
“The president has, therefore, resolved to instruct the minister of works and transport, to act under section 9(b) of the Airports Company Act, 1998 to direct that the NAC [Namibia Airports Company] discontinues all activities relating to the upgrading of HKIA [Hosea Kutako International Airport], so that the process commences de novo under the auspices of the Ministry of Works and Transport in line with the State Finance Act, 1991 (Act No. 31 of 1991) and the Treasury Instructions thereunder. It is hoped that as a government project, the correct, adequate and transparent tender procedures will be followed.”
All-weather friend
President Hage Geingob had previously welcomed the loan offer made by the Chinese government.
“We would like to express our appreciation for the special financial package for our main airport. We are very happy to know about the package to help us build our new airport,” the president said.
He indicated the project would put China's assistance to Namibia in the public view.
“We must still come back because of this crisis to ask for more benefits in that relationship regarding the airport,” Geingob said.
The president was reported to have been on a phone call with his Chinese counterpart, Xi Jinping.
“China’s loans to Namibia, as at July 2019, amounted to 2,6% of total government debt, and 7,9% of total external debt of Namibia,” Chinese embassy spokesperson Lu Hairong had previously indicated.
WINDHOEK
A loan offer made by the Chinese government to Namibia has still not been accepted and is still being reviewed.
The Chinese government has offered to finance up to 90% of the upgrade of the Hosea Kutako International Airport. The loan offer has been rolled out as part of the Chinese government’s Belt and Road initiative, in which US$60 billion is being rolled out for transport infrastructure around the world.
The ministry’s spokesperson, Tonateni Shidhudhu, said the loan was being reviewed.
“The ministry of finance is undertaking consultations with the relevant stakeholders in government before the loan agreement is signed,” he said.
Grandiose project halted
Anhui Foreign Economic Construction Corporation (Anhui) was awarded the N$7 billion airport tender advertised by the Namibia Airports Company.
The contract was cancelled in December 2015.
“The president has, therefore, resolved to instruct the minister of works and transport, to act under section 9(b) of the Airports Company Act, 1998 to direct that the NAC [Namibia Airports Company] discontinues all activities relating to the upgrading of HKIA [Hosea Kutako International Airport], so that the process commences de novo under the auspices of the Ministry of Works and Transport in line with the State Finance Act, 1991 (Act No. 31 of 1991) and the Treasury Instructions thereunder. It is hoped that as a government project, the correct, adequate and transparent tender procedures will be followed.”
All-weather friend
President Hage Geingob had previously welcomed the loan offer made by the Chinese government.
“We would like to express our appreciation for the special financial package for our main airport. We are very happy to know about the package to help us build our new airport,” the president said.
He indicated the project would put China's assistance to Namibia in the public view.
“We must still come back because of this crisis to ask for more benefits in that relationship regarding the airport,” Geingob said.
The president was reported to have been on a phone call with his Chinese counterpart, Xi Jinping.
“China’s loans to Namibia, as at July 2019, amounted to 2,6% of total government debt, and 7,9% of total external debt of Namibia,” Chinese embassy spokesperson Lu Hairong had previously indicated.
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