Completion of the ongoing construction of the 102 km Zomba–Jali–Phalombe–Chitakale road, in southern Malawi, has been extended from June to December 15 because of persistent rains and difficulties in paying the contractor.
The project is being undertaken by Kuwait’s MA Kharafi & Sons and financed by a S$76-million loan that the Malawi government has obtained from the Organisa- tion of the Petroleum Exporting Countries Fund for International Development, the Kuwaiti Fund for Arab Economic Development and the Arab Bank for Economic Development in Africa.
The contractor has applied for the extension of the period for completion of the construction works because of persistent rains in the construction area and challenges in accessing payments.
Construction started in 2005 and the project was expected to be completed in 2008. However, the project was suspended after the $57-million funding initially earmarked to complete the project was exhausted.
“The Malawi government entered into negotiations with the contractor to resolve the outstanding issues and the contractor remobilised to site in October 2012. It was expected that, by the end of June 2014, the project would be completed, but the contractor has applied for an extension to December 15,” says Malawi Roads Agency spokesperson Portia Kajanga.
She explains that the project’s price tag has gone up from the initial estimate of $57-million to $76-million, owing to increases in the prices of construction materials, as well as weather conditions.
The Arab financial institutions are also financing the construction of the 92 km Thyolo–Thekerani–Muona–Bangula road, in southern Malawi, the cost of which has also escalated – $64-million to $92-million – owing to similar reasons.
The other road projects currently under construction or rehabilitation in Malawi include the 69 km Jenda–Edingeni road, the 160 km Lilongwe–Nsipe road, the Zomba–Blantyre road, the Lilongwe City West bypass road and the Masauko Chipembere highway.
Besides the Arab financial institutions, the other financiers of road projects in Malawi include the European Union, the African Development Bank and the Japanese government.