HARARE is still to receive the US$144 million water and sanitation loan from China several months after the deal was sealed. The full council meeting last Thursday approved another US$100 million loan for water and sanitation from the Development Bank of Southern Africa raising.

This has raised fears the city was trying to drop the Chinese loan. Town House sources are worried that Harare has no capacity to absorb a US$244 million loan for water and sanitation.

Councillors have expressed reservation with the handling of both loans saying officials were not coming out clean on which loan they were taking.

Councillors said they were surprised when the city announced the DBSA loan when they had been informed Cabinet had approved the Chinese loan.

But town clerk Dr Tendai Mahachi pleaded that the story on both loans should not be written. He did not cite any reasons.

According to sources close to the Chinese loan the US$144 million would be used to rehabilitate, replace, install and commission equipment at Morton Jaffray and Prince Edward Water Treatment plants.

Part of the funds will go towards the Crowborough and Firle Sewage plants to revamp the plants and improve sewer treatment.

According to a document on the loan, after rehabilitation works the design capacities of the two water treatment and two wastewater plants would improve.

Water production at Morton Jaffray will be increased by 104 megalitres a day from 600 to 704 megalitres while the Prince Edward Plant will be able to produce up to 90 megalitres a day. An improvement in water availability and sewer treatment helps reduce the incidence of water borne diseases.

The Chinese loan was extended in the spirit of friendship that exists between Zimbabwe and the Asian country.

“Zimbabwe and China are good friends. The strong financial assistance from China is playing a critical role in recovering Zimbabwean national economy and benefits the people of Zimbabwe,” said a source close to the deal.