I saw these comments on one of social networking sites and thought i share with you as food for thought
Ba Jiamo port development projects in Tanzania
Marmot (Ambassador of Tanzania) said on March 22, a memorandum of cooperation signed the Ba Jiamo port development projects between Tanzania and China when the president Xi Jinping to visit March 25 2013 . China Merchants Holdings International Limited will undertake the construction of this budget to reach $ 10 billion project.
3 comments
Yak Wui Bong What kind of ports are they building with $10 billion dollar?
George Xue In accordance with the framework agreement, China Merchants Group will assist the Government with the overall planning, design, development, construction and management of Bagamoyo special economic zone development project and their supporting facilities (ports and highway etc.).
Michael Panosh I've seen this $10bn figure in the press but second Yak Wui's question because that's a lot of money, even for a First World ports project.
Indeed, DP World's London Gateway project is priced in the £1.5bn range and that's to build a 3.5 million TEU container port and Europe's largest logistics park...and DP world is not spending this all at once!
Plus, the Bagamoyo Special Economic Zone is being touted at costing $300million by EPZA so even adding in the envisaged Mbegani Port project does not get us anywhere near $10B.
Finally, the World Bank put Tanzania's Gross Domestic Product at just under $24bn in 2011, so pumping $10bn into the economy is going to have to be done over many years, not as a single set of short-term construction projects.
Maybe it's meant to be 10bn Renminbi, which is a less eye-watering US $1.6bn? Or perhaps there are many, many other projects planned that will add up to $10bn over time? I'd hope so, because otherwise China Merchants Holdings International Limited is taking a serious slice of Tanzania!