The African Development Bank (AfDB) has allowed China Railway Construction Engineering (CRCE), a state-owned company, to be reinstated for bidding on bank-financed projects provided it meets guidelines and co-operates with authorities.
The AfDB states that CRCE did not “ensure accurate disclosure” for the experience it detailed in a bid for phase one of a tender on the Msalato International Airport Project in Tanzania, which the AfDB said amounted to “fraudulent practice”.
Work began on the $270m Msalato International Airport in 2020, but was delayed by the pandemic. It will cover a 45-sq-km site some 14km north of the city.
It is being built by a team led by Chinese contractors Sinohydro and Beijing Construction Engineering.
A conditional non-debarment began on the 7th November 2024 and will last for a year, meaning CRCE will be able to bid for Bank Group-financed activities and has agreed to work with the AfDB’s Office of Integrity and Anti-Corruption and other law enforcement and regulatory authorities.
Following CRCE’s successful completion of the sanction, it will also need to implement an “integrity compliance program” to become fully reinstated.
Construction of Msalato International Airport is expected to finish in 2026.
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