CRDB Bank supports CDA to move squatters

Capital Development Authority (CDA) has managed to solve a protracted dispute with squatters in Dodoma Municipality, after securing a loan from CRDB Bank.

The authority borrowed 3.4bn/- from CRDB Bank which was used as compensation for Medali East and Mkalama residents.

According to CDA, two third out of some 4,000 residents agreed to be moved from their squatter areas to new and planned ones on the city’s outskirts, but failed to raise money to buy new plots.

CDA’s acting Director General, Mr Paskasi Muragili, told the ‘Daily News’ that two-third of the residents were supposed to move out to pave way for the authority to plan the area.

“The demolition was a must as the places became an eyesore to the city,” Mr Muragili said. He added: The challenge was money. It was as if we had reached a dead-end.

But thanks to CRDB they came to our rescue.” Two-third out of the 4,000 residents agreed to buy new plots at 1.1m/- each and were ready to pay in instalment for two years.

Under the programme, in both squatter areas, one out of the three land occupiers was supposed to vacate the disputed land.

“They knew they occupied the land illegally and had to leave the place voluntarily, the problem was how they were going to raise the money,” Mr Muragili said.

Under the agreement those who were left at the plots at Medali East, local known here as Njedengwa and Mkalama, are supposed to let the movers to stay at their premises for three years to let them construct their new homes.

The CDA acting DG said another agreed project with CDRB bank for a loan which plot buyers will payback in two-three years at between 70,000/- and 150,000/-.

“This enables plot buyers to afford to buy the plots,” Mr Muragili said, “previous most failed to buy at a go for plots.”

CRDB Bank Director of Corporate Banking Philip Aflfred said the bank was discussing with the government to see ways of relaxing some regulation when it comes to loan guarantee to local governments.

“We are also assisting LGAs on projects write up,” Mr Alfred said. He mention some of the municipals which befitted on the loan scheme for development as Mbeya City 17.5bn/-, for constructing Mwanjelwa Market and Mwanza City 2bn/- to construct secondary school laboratories.

Dodoma was declared a capital of Tanzania in 1973 and the task to develop a well-designed city was given to CDA following a master plan in 1976.
Source: Daily News, reported by Abduel Elinaza, from Dodoma, Tanzania
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