Tanzania and Hungary have signed a concessional loan agreement worth USD 55.1 million for the implementation of the Biharamulo Water Project in the Kagera Region, a move that will significantly improve access to clean and safe water for residents of the area.
The agreement was signed in Dodoma by the Permanent Secretary of the Ministry of Finance, Dr. Natu El-Maamry Mwamba, on behalf of the Government of Tanzania, in the presence of Hungary’s Ambassador-Designate to Tanzania, Katalin Nyirati.
Dr. Mwamba explained that the project implementation agreement had previously been signed on the Hungarian side by the Secretary of State for Bilateral Relations at the Ministry of Foreign Affairs and Trade, Boglárka Illés, and that the Tanzanian signature now enables the country to access the loan through Hungary’s Exim Bank.
The project is designed to draw water from Lake Victoria, purify it using advanced Hungarian water management technology, and distribute it to more than 200,000 residents in Biharamulo District through expanded water treatment and distribution networks.
It aligns with national development priorities outlined in the Third Five-Year National Development Plan (2021/22–2025/26), the Tanzania Development Vision 2025, and the new Tanzania Development Vision 2050.
Dr. Mwamba noted the importance of expanding the scope of bilateral cooperation beyond concessional loans to include grants in areas such as capacity building, education, and other social sectors, in order to enhance inclusive and sustainable benefits for citizens.
He reaffirmed the government’s commitment, under the leadership of President Samia Suluhu Hassan, to continue strengthening and expanding bilateral relations with Hungary for the prosperity of citizens of both countries.
Dr. Mwamba also congratulated Ambassador Nyirati on her appointment, noting that it reflects the Hungarian government’s commitment to advancing the longstanding relationship between the two nations, and assured her of Tanzania’s full cooperation in furthering bilateral ties.
Ambassador Nyirati stated that cooperation between Tanzania and Hungary has endured for over 60 years, describing Tanzania as a trusted partner.
She assured Tanzania that Hungary would continue to collaborate in areas of mutual benefit, including water, education, agriculture, political affairs, and technology, and expressed readiness to exchange expertise to improve efficiency across these sectors.
She added that the world is facing various economic challenges and that sincere cooperation between the two countries will help ensure economic resilience and broader benefits.
The Permanent Secretary of the Ministry of Water, Engineer Mwajuma Waziri, thanked Hungary for the milestone reached on the Biharamulo Water Project loan, noting that residents of the area are eagerly awaiting the project’s implementation.
She said the signing of the agreement brings renewed hope for the implementation of a project of great significance for local development.
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