News Column

Uganda : CONTRACT inked by Lira Municipal Council and Chinese firm

August 13, 2014

Lira Municipal Council inked a contract with a Chinese firm to improve 6 urban roads at cost of sh10.8bn under the World Bank s five-year Uganda Support to Municipal Infrastructure Development Project (USMID).

The 12-month contract was inked among the Town Clerk, Daniel Christopher Kawesi and the country Manager of China Hunan International Cooperation Group Co. Ltd, Zhou Fudong. This is the 1st stage of a special instrument recognized as the Program-for-Results or PforR, which is an new new financing instrument for the World Bank s client countries that links the disbursement of funds directly to the delivery of defined results.

It is part of the approved International Development Association (IDA) credit of US$150m to finance urban infrastructure and improve service delivery in 14 municipalities in the country.

The project is likely to spread out urban infrastructure and improve the capacity of the 14 municipal local governments to produce own source revenues, improve urban planning, and strengthen financial management, procurement, environmental and social systems.

Kawesi said that this exercise has been long due worth the wait. The fund was approved in March last year but this implementation delayed.

The Town clerk said, I am very optimistic the contractor we have got is going to do us a very good job given his wide experience .

He requested to the people of Lira Municipal council to support the endeavor as it s a performance- for-result project.

We shall attract more resources if the first phase of the project is executed properly. The town clerk stressed that the first phase is costing sh10bn and over the five-year period, expects up to sh25bn

Am very sure if we can attract all this money into Lira Municipal Council, we are going to change the face of this town.

Zhou Fudong said that quality and time is very important to their company. He said the company will transfer equipment in Gulu to Lira to help complete the work in time.

He said, With cooperation from the consultant and the employee (Lira Municipality), we shall finish the work successfully .

Deputy Mayor Johnson Okwir D'Ngai and Municipal Engineer David Bagenda and his assistant Anthony Okucu witnessed the signing ceremony.

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Source: TendersInfo (India)

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