Tanzania: Govt Tasks Contractors to Use Banks Beefing Up Capital

THE government has challenged contractors and bidders to capitalise on bank offers in the market to build financial muscles to warrant their ability in participating in large projects.

The Minister for Works and Transport, Prof Makame Mbarawa specifically challenged the contractors and bidders to use CRDB Bank's window designed to facilitate their contractual works--financially.

"CRDB has brought this opportunity to your doorstep, take the advantage to access the required capital to build your firm's capacity. This way will enable you to fully participate in projects of whatever size," Prof Mbarawa said.

The minister challenged the contractors yesterday while opening the empowerment conference for contractors and bidders organised by CRDB in Dar es Salaam.

The Minister said that these opportunities will help address the challenges of the various projects delayed due to the lack of capital.

He said that the facilitation done by the CRDB will support to fulfil the government's desire to ensure that local contractors are participating in projects--thus increasing local content.

Prof Mbarawa hailed the decision of CRDB to open a subsidiary in the Democratic Republic of Congo (DRC) saying the decision will help open up many opportunities for businesspersons in the country including contractors and bidders.

"DRC is in great need of road infrastructure, and we [Dodoma and Kinshasa] have been engaging in talks to improve this area--if you consider our trade relations which continue to grow yearly", Prof Mbarawa said.

CRDB CEO and Managing Director Abdulmajid Nsekela said it will continue supporting the government to improve the country's infrastructure by way of offering loans to contractors and bidders warranty-free.

The head of CRDB named some of the offers as a bid bond, performance guarantee, advance payment guarantee, and mechanical loan services.

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