Tanzania's China-backed Sh1 trillion port plan stalls over terms

Bagamoyo Port. (Image, Courtesy)

A planned Sh1 trillion (USD10 billion) port project in Tanzania backed by China has hit an impasse, with the two sides disagreeing on terms of the infrastructure investment, a senior Tanzanian port official said on Wednesday.

In 2013, Tanzania signed a framework agreement with China Merchants Holdings International, China’s largest port operator, to build the port and a special economic zone that aims to transform the east African country into a regional trade and transport hub.