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PM hands Indian Line of Credit to resource-rich Tanzania

 PTI |  2016-07-11 23:55:24.0  |  Dar es salaam

PM hands Indian Line of Credit to resource-rich Tanzania

Seeking to enhance its ties with resource-rich Tanzania, India on Sunday extended its full support to it to meet its development needs and signed five agreements, including one for providing a Line of Credit of $92 million in the water resources sector. Describing India as a trusted partner in meeting Tanzania's development priorities, Prime Minister Narendra Modi said he along with President John Pombe Joseph Magufuli "agreed to deepen our overall defence and security partnership, especially in the maritime domain". "Our in-depth discussions on regional and global issues reflected our considerable convergence on issues of common interest and concern," he said. "India's cooperation with Tanzania will always be as per your needs and priorities," Modi said at a joint press interaction after his bilateral meeting with President Magufuli.

The two sides signed an agreement under which India will provide a Line of Credit of USD 92 million for rehabilitation and improvement of Zanzibar's water supply system. Other agreements signed include an MoU on water resource management and development, MoU for establishment of vocational training centre at Zanzibar, MoU on visa waiver for diplomatic/official passport holders and an agreement between National Small Industries Corporation of India and Small Industries Development Organisation Tanzania.

The Prime Minister said the two countries are also working on a number of other water projects for 17 cities in Tanzania. "For this India is willing to consider an additional USD 500 million line of concessional credit," he said. Describing Public Health as another important area of bilateral engagement, Modi said India is ready to meet the healthcare priorities of the Tanzanian government, including of supply of medicines and equipment. "I am told that an Indian radio-therapy machine is being installed at Bugando medical centre to treat cancer patients," he said.

He said during his meeting with President Magufuli, they detailed discussions on the full spectrum of bilateral partnership. "Our focus was to shape an action oriented agenda of cooperation, so that we talk less of potential and more of achievements on the ground. We agreed that our common desire of economic prosperity for our societies is creating new opportunities for expanding our cooperation," he said.

To achieve this, the two nations agreed to deepen partnership in agriculture and food security, including through enhanced export of pulses from Tanzania to India. They also decided to work together in development and use of natural gas.

India agreed to partner Tanzania in building of industrial economy, capacities and institutions. The two leaders also decided to deepen bilateral trade and investment partnership by encouraging greater industry to industry ties.  India is already a substantial economic partner of Tanzania. The whole range of our economic ties are healthy and on upswing. 

Two-way annual trade stands at around $3 billion. Indian investments in Tanzania already total around $3 billion. "The Eastern coast of Africa, and Tanzania in particular have enjoyed strong links with the India. We are old maritime neighbours. Together, our leaders and our people have fought colonialism and racial oppression," Modi said.

"Our merchants have traded since early nineteenth century. And, the vast stretch of Indian Ocean has kept our societies and our people connected. President Magufuli has a vision for nation building, development and industrialisation a vision that is my dream for India too," he said.

As a developing country, Modi said India understands the need and urgency to improve the lives of our people. "In this regard, the completion of 100 million dollar water supply augmentation project for Dar es Salaam is a good achievement," he said.

Education, vocational training and skill development are other areas of your priority and where India is willing to offer all possible assistance. "I also understand that the IT Resource Centre at the Nelson Mandela African Institute of Science & Technology, Arusha is close to completion," he said.

The two leader agreed to work closely, bilaterally, regionally and globally, to combat the twin threats of terrorism and climate change. On climate change, he said India had led the efforts to form an International Solar Alliance at climate conference in Paris.

"In this Alliance, which has the support of over 120 countries, we welcome Tanzania as a crucial partner," Modi said. He also invited President Magufuli to visit India at the earliest possible opportunity.

Earlier, the Prime Minister was accorded a ceremonial welcome when he arrived at the State House in Dar-es-Salaam. He arrived here late on Saturday night on the third leg of his four-nation Africa tour.

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