POLAND is taking up its already expressed commitment to provide insurance guarantees for the construction of sections 3 and 4 of the standard gauge railway (SGR) project, connecting Makutupora to Tabora and from Tabora to Isaka.

Dr Mwigulu Nchemba, the Finance minister, made this affirmation here yesterday, after meeting with Janusz Wladyczak, CEO of the KUKE, the state export credit agency,  marking the conclusion of his working visit to Italy, France, and Poland. 

Providing insurance guarantees for the project is a safety net for those financing the works, with the visit being a follow-up of agreements reached at the time that Polish president Andrzej Duda visited Tanzania in February last year. 

Securing the guarantees significantly advances the pace of completion of the two sections, spanning 294 km from Makutupora in Dodoma Region to Tabora, and 130 km from Tabora to Isaka in Shinyanga Region.

He said the now completed Dar es Salaam-Morogoro to Dodoma section and from Dodoma to Makutupora cost $3.14bn, with services starting last July for the first section. Remaining sections to Mwanza and Kigoma are projected to cost $8.6bn, are in early stages of implementation, he elaborated.

Government efforts to seek funds from multiple sources are meant to fully ensure the completion of the major project, expressing gratitude to the Polish authorities for backing up sourcing of the necessary project funds. 

Completion of SGR construction will drive trade, create jobs and contribute to economic growth at home and in the neighbourhood, he said, appealing to the Polish agency to engage Polish investors to link with Tanzanian authorities and the private sector on potential investment in other spheres.

Productive projects are feasible whether it is in agriculture, energy, water, health, tourism and industrial infrastructure development, to foster mutual economic and social benefits, he stated.

Janusz Wladyczak, CEO of KUKE, asserted the company’s readiness to participate in the SGR project, recognizing its vital economic importance for Tanzania and the neighboring countries. 

Poland is willing to work with Tanzania on additional development projects, through government-to-government partnerships and private sector investments, he declared, underlining that Polish expertise in agriculture, livestock raising, energy technology, mining and other sectors has high-quality, cost-effective products.

A breadth of investors in that country are also eager to explore opportunities in Tanzania, he stated, encouraging Tanzanian companies to consider investing in Poland. Any company investing in Poland would be granted Polish company status, opening access to the broader European Union market, he added.