The Zambian and German Governments have signed two bilateral agreements for Financial and Technical cooperation worthy approximately 120.5 million Euros.
The two agreements comprise commitments of 94 million Euros for financial cooperation and 26.5 million Euros for technical cooperation.
Forty million Euros will go towards concessional financing for the rehabilitation and extension of the Chishimba Fall Hydro Power Station.
Speaking during the signing ceremony in Lusaka today, Finance Minister Alexander Chikwanda thanked the Germany government for the support rendered to Zambia.
Mr. Chikwanda says the signed bilateral agreements are timely and will help substantially to fill some resource gaps.
He notes that currently Zambia has significant challenges in its economy principally due to the external induced shocks arising from the global economy particularly as they relate to low commodity prices.
And Germany Ambassador to Zambia Bernd Finke, who signed on behalf of his government, says the signed agreements are based on the bilateral government negotiations on German-Zambia development cooperation which took place in November last year.
He says the 120.5 million Euros worth agreements attest to the fact that Germany has now doubled its funding to Zambia.
Mr. Finke says this also signifies an increase of around 5 percent compared to Germany’s last commitments in 2011.
The envoy has since assured the Zambian government that Germany will continue to be a reliable partner in good and in less good times.