2024-06-23

DPP supports the bill of govt receiving $63 million grant and borrowing $2 million loan

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The opposition Party in the national assembly D emocraticc Progressive Party, has commended the Tonse Alliance for considering the rehabilitation of M5 (LakeShore) road saying it will reduce cases of Road accidents.

On Wednesday, the government of Malawi was iven a go-ahead with the plans of receiving a grant of $63 million grant and borrowing a $2 million loan from the African Development Bank (ADF) for the rehabilitation of the road as the Parliament passes the bill.

The Lakeshore (M5) Road has been in a bad state for a while and the members of Parliament allowed the bill to pass saying it will help to reduce cases of road accidents.

According to the minister of finance and economic planning, Sosten Gwengwe, the condition of the loan is that Malawi is expected to pay back after 38 years – grace period of six years, the real duration of the loan is $2 million.

Gwengwe said the main objective of the project is to improve the provision of transport services which, eventually, would support economic activities such as agriculture and fisheries.

The first component of the project includes the construction of physical infrastructure that will withstand the Climate, main road and feeder roads for the 155-kilometre Kaphatenga road in Salima District to Dwangwa in Nkhotakota District.

Supporting the move from the former ruling party was Thyolo Central Member of Parliament Ben Phiri who said they want the government to embark more into such developments.

“We do not have a problem with that because the African Development Bank has a credible reputation world over. It is a bank that funded the Liwonde- Mangochi Road, which is one of the magnificent roads in Malawi,” said Phiri.

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