Sessional Paper No. 01 of 1970 on Government Guarantee in Respect of an I.B.R.D. Loan to the East African Railways Corporation.

Abstract

In accordance with section 5 of the Guarantee (Loans) Act 1966, the following information is laid before the National Assembly in connexion with a proposed guarantee by the Government (jointly and severally with the Governments of Tanzania and Uganda) of the obligations of the East African Railways Corporation in respect of a loan of the equivalent of approximately K£15,130,000 to the Corporation by the International Bank for Reconstruction and Development (World Bank). To obtain the finance necessary for full implementation of the 1969-72 railways development programme as approved by the three partner States, the East African Railways Corporation has asked the International Bank for Reconstruction and Development for a loan in various foreign currencies equivalent to 42,400,000 U.S. dollars or approximately K£15.13 million. This is the amount by which the Corporation's own resources and borrowings from other sources are estimated to fall short of its expenditure during the programme period and will provide most of the necessary foreign exchange content of this expenditure…