The Malawi President said, first of all, I would like to thank you all for accepting to come to the State House for this Press briefing which I consider very important as I address Malawians on the significant programs the Government will be implementing with support from the Chinese Government.
The Malawi Government appreciates the relationship that exists between the two Governments after establishing diplomatic relations between Lilongwe and Beijing a few years ago.
Cabinet Minister, Members of the Press, as you are aware, I had a very successful meeting with the Prime Minister of the People’s Republic of China, His Excellency Mr. Li Keqian, on 10thSeptember this year, on the sidelines of the World Economic Forum that was held in the beautiful city of Dalian.
During the meeting we resolved that a team of experts should hold discussions on the seven priority projects which my Government had submitted to the Chinese Government. The meetings were held between 10 and 12 of October 2015 in Beijing, China led by the Minister of Industry and Trade, Honourable Joseph Mwanamvekha, MP.
Cabinet Minister, Members of the Press,the purpose of this meeting is to inform the nation the outcome of the discussions that were held in China with officials from the Ministry of Commerce, EXIM Bank of China and China Gezhouba Group Company Limited. I wish to inform you that the Chinese Government approved for immediate implementation three projects, namely:
1. The 300 Megawatt Kam’mwamba Coal Fired Power Plant–The project is aimed at increasing the power generating capacity of Malawi to meet the ever increasing demand. The project cost is estimated at US$667,232,814.
2. The E-Government (National Identity) Project–The Chinese Government approved the Fibre Back-bone component of the project, which will lay the fibre optic cables to increase internet connectivity. The second component of the National Identification Project, however, will be subjected to further discussions. The entire project is estimated to cost US$50 million.
3. The Chileka International Airport–Before implementation commences, the Malawi Government will redesign the project, conduct feasibility study and an Environmental Impact Assessment. The total cost of the project is estimated at US$285,430,000.00.
Cabinet Ministers, Members of the Press, the following four projects will be subjected to further review. A team of experts will be visiting Malawi before the end of December this year to discuss the technical aspects with their counterparts:
4. The 140 Km Tsangano – Neno – Mwanza Road–The total cost of the project is estimated at US$169.4 million.
5. The 129.5 Km Mangochi – Makanjira Road–The total cost of the project is estimated at US$151.7 million.
6. The Upgrading of the Phombeya – Makanjira– Nkhotakota – Chatoloma 220 KV Power Line–The total cost of the project is estimated at US$189,298,285.00.
7. The Lilongwe Dual Carriage Way from Kanengo – Mchinji Roundabout on the M1 Road–The total cost of the project is estimated at US$45 million.
Cabinet Ministers, Member of the Press, let me also add that the Chinese Government has provided grants to the Malawi Government as follows:
i. US$25 million (130 million RMB)whose Financing Agreement was signed in January 2015;
ii. US$25 million (150 million RMB)whose Financing Agreementis being prepared for signing; and
iii. US$8 million (50 RMB million) interest-free loan, financing Agreement which was signed in January 2015.
Cabinet Ministers, Members of the Press, following the discussions that took place in China, the Chinese Government agreed to disburse the two grants as follows:
a) Construction of the Blantyre District Hospital and Cancer Centre in Blantyre at Kameza costing US$23; and
b) Procurement of police vehicles for the Malawi Police Service costing US$2 million.
a) Construction of a Technical Teacher Training Collegecosting US$5 million;
b) Construction of Community Technical Colleges costingUS$6 million;
c) Promotion of value addition activities for the Ministry of Industry and Trade amounting to US$5 million;
d) Procurement of equipment and exchange programs for Professors/Lecturers at the Malawi University of Science and TechnologyUS$2 million;
e) Procurement of office equipment and furniture for the Ministry of Industry and Trade amounting to US$1 million;
f) Support for technical services for the Bingu National Stadium constructed with the support of the Chinese Governmentamounting to US$1 million for; and
g) Construction of a new Ministry of Foreign Affairs Buildingamounting to US$3 million.
Cabinet Minister, Members of the Press, let me conclude by once again thanking the Chinese government for the support it is rendering to Malawi.
This only signifies the strength of the bilateral relationship that exists between the two Governments. Let me also thank Hon. Joseph Mwanamvekha, MP, Minister of Industry and Trade and your delegation for successfully finalising the discussions on the seven priority projects and disbursement of the grant aid.
I thank you all for your attention and May the Almighty God Bless us All