Zim secures $20m Denmark grant

HARARE - Zimbabwe has secured a $20 million grant from Denmark aimed at infrastructure development.

The financing will be channelled through Zim-Fund — a multi-donor trust fund managed by the African Development Bank (AfDB).

It is part of the Denmark-Zimbabwe Development Partnership Programme for 2013 to 2016.

The programme is focused on supporting inclusive economic development through private sector growth, policy development, infrastructure rehabilitation and improving smallholder farmers’ productivity.

Erik Rasmussen, the head of mission at the Royal Danish Embassy office in Harare, said the $20 million will finance the second phase of the water and sanitation projects, and the Emergency Power Infrastructure Rehabilitation programme targeted for completion in 2016.

“Water is not just critical for health reasons but for productivity.
At the same time, electricity is not only critical for household use but also for the effective running of companies,” he said.

Economic experts say the coming in of the funds is positive news for Zimbabwe which, since dollarisation in February 2009, has been failing to attract funding to improve power generation, water reticulation and improve the infrastructure.

Currently, most companies are under-capitalised and struggling to pay their bills. The banking sector, itself in dire straits, lacks capacity to lend to businesses to buy new equipment or fund their working capital.

Rasmussen noted that 1,5 million people in Chitungwiza, Ruwa and Redcliff will benefit from the water and sanitation intervention which will cover the procurement and installation of pipes, pumps and fittings.

On completion of this project phase, consumers will benefit from improved water supply, health and hygiene.

“An important part of the water project is the sanitation and hygiene awareness campaign that is targeted at the most vulnerable segment of the population. This is expected to foster attitude and behaviour change in the fight against water borne diseases including cholera, typhoid and dysentery,” he said.

As part of the project, the local authorities will benefit from
technical assistance and capacity building in operational maintenance.

This is expected to lead to sustainable service delivery as a result of better operation and maintenance of the water and sanitation infrastructure.

A comprehensive investment plan for Redcliff’s water and sanitation infrastructure will be developed through the technical assistance component of the project.

This plan will make available the required water sector investment information for the Midlands town.

Zim-Fund’s second stage of phase II of the Emergency Power
Infrastructure Rehabilitation project is expected to benefit more than five million people in Kwekwe, Masvingo and Hwange.

This phase of the project will see the replacement of Bulk Supply Substation Transformers in Kwekwe and Masvingo.

By 2016, consumers in these areas will benefit from improved
availability and reliability of electricity, reduced load shedding and stable water supplies.

Part of the funds will also go towards environmental mitigation
activities that include dust control, water and air pollution control at Hwange Power Station.

On completion of the project Hwange Power Plant will have improved environmental air and water quality conditions in line with Environmental Management Authority (EMA) and international best practices.

Finance minister Patrick Chinamasa commended Denmark for taking an initiative to help normalise relations between the two countries.

Chinamasa noted that Denmark has since 1980 contributed immensely to the development of Zimbabwe through various funds.

“Denmark’s contributions to these funds has ensured that schools are equipped with teaching and learning materials, supply of drugs and medicines to health institutions, as well as, production of informative notes and reports to inform economic policy formulation,” he said.

Denmark collaborates with other donors through Zim-Fund which is managed by the AfDB to facilitate the rehabilitation of infrastructure in order to improve the quality of life for Zimbabweans.

Comments (5)

grant welcomed.

MOYO - 10 June 2014

Is your borehole working properly? we do borehole repairs, pumps, diagnosis and maintenance. 0714 247 097 email boreholepumps@yahoo.com

we do it - 10 June 2014

sure our water infrastructure is dad. it need to upgrading and rehabilitation. so hope the funds will go a long way.

sammy - 10 June 2014

that grant is very welcome it means extra cash in the pockets

jack - 11 June 2014

Mr Chinamasa moita basa rekumhanya muchi kumbira Mari . Please gadzirayi zvinhu first kumba, then all will fall into place.

Gofrey Sibanda - 14 June 2014

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