Sessional Paper No. 08 of 1980 on Government Guarantee of A Loan to Kenya Tea Development Authority (KTDA) From European Investment Bank(E.I.B.) For Financing the 5th Kenyan Tea Development Project

Abstract

In accordance with the provisions of the Guarantee (Loans) Act (Cap 461) of the Laws of Kenya, the following information is laid before the National Assembly relating to a guarantee by the Government of the Republic of Kenya in respect of a loan of seven million five hundred Thousand European Units of accounts (EU.A .. 7.500,000) equivalent to about Kenya shillings seventy-nine million, five hundred thousand (Kshs.79(500,000) at current exchange rates to be granted by the European Investment Bank an agency of the European Economic Community, to the Kenya Tea Development Authority. EIB grants loans directly to governments or public authorities, exclusively for projects offering satisfactory and assured rate of return, whose operating results or the resources directly generated thereby must normally be such as to cover loan repayments and interest due...