Bumbuna commenced almost two decades ago but was interrupted by civil conflict and then funding difficulties. Last year the scheme was pushed ahead again and AfDB said that its US$16M loan would enable its completion.
Project backers include the UK and Italian governments as well as the AfDB. The scheme is seen as a key venture to reduce energy costs and consequently help the country’s balance of payments. Energy costs would be reduced by approximately US$11.5M, said AfDB.
The project is due to be completed next year, and its completion cost is expected to be almost US$55M. The Italian government is giving the biggest share of the funds – US$17.5M.
