(left) addresses new Zambia Railways Board members at his office as
the new Board Chairperson Davies Chama looks on in Lusaka
The governments of Tanzania and Zambia, who are the two shareholders of the Tanzania-Zambia Railway Authority (TAZARA), have agreed to inject US $80.00 million into the operations of TAZARA in the next 12 months.
Of this amount, US$ 9.20 million is to be disbursed immediately to cater for two months of the outstanding employees’ salary arrears and some working capital.
This came to light during the TAZARA Council of Ministers meeting held in Lusaka, Zambia, on Friday 4 July 2014.
The meeting resolved to inject funds in the Authority following months of low productivity and operational disruptions due to various factors including frequent breakdowns, accidents, unstable labour atmosphere and lack of working capital to pay salaries and procure fuels and lubricants for the trains, all resulting in recurrent work stoppages.
Speaking during the meeting, the Tanzanian Minister of Transport, Harrison Mwakyembe, who is the current Chairperson of the Council of Ministers, said the Tanzanian government was encouraged by the commitment of the Zambian government towards TAZARA.
Dr Mwakyembe reiterated his government’s commitment to look for resources in order to ensure that TAZARA’s operations are boosted for the company’s smooth running.
“We are delighted and greatly encouraged by the unprecedented commitment and support shown by our Zambian partners towards TAZARA.
“In line with the commitment shown by Zambia, I take this opportunity to reiterate our commitment as Tanzania and affirm that we are willing and ready to find resources in order to ensure that TAZARA’s operations are boosted to a level where we shall all be comfortable,” Dr Mwakyembe said.
He said in a statement made available to ZANIS in Lusaka today that the two governments would not allow TAZARA to collapse.
And his Zambian counterpart, Yamfwa Mukanga urged the two countries to enhance their commitment in order to turn around the company.
Mr Mukanga said there was also need for the two governments to find lasting solutions to challenges that the railway line was facing.
“We all must put in what we can so that this company is turned around. If we are all committed, this company will be turned around. We must find lasting solutions,” said Mr Mukanga.
The Zambian minister further said since the two governments were showing serious commitment by heavily investing resources in TAZARA, it would also be expected that management and employees would equally perform.
“Performance will no longer be an option and measures will be put in place to ensure that each and every position is monitored for performance so that those who are not performing are weeded out immediately,” he said.
Also in attendance were the Zambian Minister of Finance, Alexander Chikwanda, Minister of Commerce, Trade and Industry Robert Sichinga, and the Tanzanian Deputy Minister of Finance, Adam Malima.
Others included the two Permanent Secretaries from the Ministries of Transport in Tanzania and Zambia, Shabaan Mwinjaka and Charles Sipanje, respectively as well as the management team of TAZARA.
ZANIS
They better put the money to good use.
What are these two South Sudanese doing in Zambia? Are they Mushota’s relatives?
Who gave the money,more loans???????????????
Isn’t there a policy in Zambia that a CEO of one parastatal cannot chair the board of another? If this is true then Chama’s appointment may be erroneous.
The two governments should look for the right top Management Team to manage these funds, not the present ones. The MD and Deputy are all useless in fact the later is a real thief who used to inflate prices while as Supplies Officer.
The two governments must ensure that funds go to intended purpose by actively controlling the expenditure, otherwise the same old story of paying the “Debtors” will surf ice.
See my small lesson under comments for socialism under “Government intensifies efforts to set up airline” story.
socialism & parastatals are a uninspirational & a waste public funds