Tanzania: Samia drums for a stronger AfDB

PRESIDENT Samia Suluhu Hassan appealed to multilateral donors to enable the African Development Bank (AfDB) to access Special Drawing Rights (SDRs), which will benefit developing African countries.

“We must raise our voices to ask multilateral donors to allow the AfDB to access SDRs because these will benefit Africa.

“Africa will be on the verge of getting funds from our own bank for our own development,” Ms. Samia told delegates during a dialogue at the annual meetings of the AfDB and the Development Fund for Africa (FAD) held in Accra, Ghana.

“Funds have to go through our own bank (AfDB) for our own development,” Ms. Samia said on her second day of her three-day working visit to Ghana.

Ms. Samia congratulated the AfDB on its 50th anniversary and thanked the lender for supporting the implementation of development projects in Tanzania. In addition to attending AfDB meetings, Ms. Samia is also expected to receive the 2022 Babacar Ndiaye Trophy from the Road Builders of Africa in recognition of her commitment to the development of transport infrastructure.

The SDR is an international reserve asset, created by the International Monetary Fund (IMF) in 1969 to supplement the official reserves of its member countries.

To date, a total of 660.7 billion SDRs (equivalent to approximately US$943 billion) have been allocated.

This includes the largest ever allocation of approximately SDR 456 billion approved on August 2, 2021 (effective August 23, 2021).

This most recent allocation was intended to meet the long-term global need for reserves and to help countries cope with the impact of the Covid-19 pandemic.

The value of the SDR is based on a basket of five currencies, namely the US dollar, euro, Chinese renminbi, Japanese yen and British pound sterling.

The Tanzanian leader further stressed that most global programs and plans should be in line with what Africa is planning.

President Samia told delegates that apart from some challenges she faced as Tanzania’s first female president, the country has made significant achievements on many socio-economic fronts.

“I took office when the world was in the throes of Covid-19 and our economy grew from 6.8% to 4% last year.

“However, thanks to various interventions, the economy has rebounded to 5.2% this year and we expect it to grow to 6.8% by 2025,” she said.

Ms. Samia further noted that she assumed leadership when the water supply was at 72%, but the rate has now increased to an average of 80% across the country.

“Our goal is to increase water supply to 95% and 85% in urban and rural areas, respectively, by 2025,” Ms. Samia told delegates.

President Samia, on the other hand, explained that unlike other countries, Tanzania has made best use of the IMF’s 1.3tri/- Covid-19 Rapid Credit Facility to improve education sectors, health and water.

“Among other things, the funds were used to build additional classrooms and this allowed the number of students per class to be decongested from 100 to 120 to 45 to 50,” she boasts.

The credit facility was also used to construct 350 new health centers with modern equipment at regional and district levels.

Officiating at the meeting earlier, the President of Ghana, Mr. Nana Akufo-Addo, highlighted the fact that the AfDB annual meetings are being held at a critical time in history as Africa and the rest of the world cope with the effects of cooperation. vid-19 and Russia’s invasion of Ukraine.

Nevertheless, President Akufo Addo commended the AfDB Group for being a world renowned bank that has managed to maintain its stellar AAA rating even in difficult times and thus makes it the only financial institution in Africa with triple A credit per all major global rating agencies.

Speaking earlier, AfDB Group President Dr. Akinwumi Adesina outlined the Bank’s plans to address the looming food crisis looming over Africa as a result of the conflict between Ukraine and Turkey. Russia.

“I am optimistic. Africa will not experience a food crisis. We have the means to overcome this challenge,” Adesina said.

“Africa only needs to produce its own food. It should not have to beg for food. There is no dignity in begging for food,” he told the annual assemblies from the AfDB in Ghana which started on May 23 and were due to end in May. 27 this year.

About Meredith Campagna

Check Also

Can the Fed rein in inflation without further crushing the stock market? What investors need to know.

By Isabelle Wang Investors should brace for more volatility as policymakers set for another giant …