Tanzania to benefit from 5bn US dollar Chinese loan

TANZANIA will benefit from the Chinese 5 billion US dollar special fund for empowering small and medium entrepreneurs in Africa, the House heard yesterday.

The funds in the China’s Development Bank was allocated by Chinese government to help startup medium-sized business people in African countries acquire seed capital for their business.

Foreign Affairs and International Cooperation Deputy Minister, Dr Suzan Kolimba, said the government was negotiating with their counterpart in China to allow local banks to acquire some loans from the special fund.

“The plan is very clear. If our banks are credited they can easily issue loans to small and medium sized enterprises,” she said when responding to a principal question from Special Seats MP Munde Abdallah Tambwe.

The lawmaker asked for government’s plan to use its economic diplomacy policy to link Tanzanians SMEs with their Chinese counterparts to improve industries in the country.

The deputy minister said the ministry had in the previous month chaired a meeting with the Chinese development bank to identify ways how Tanzanians bank could access the funds.

“We hope our banks will meet the criteria; so more Tanzanians can benefit,” she said.

She at the same time said that Tanzania was among four African countries where China announced it would invest and construct industries in three years from 2016-18. - The Daily News