By: Foday Manneh
The Gambia government has confirmed the payment of more than $26 million (equivalent to more than D1.445 billion) to Haddim Gai of Gai Construction, the contractor for the Banjul Rehabilitation Project.
This is according to a financial report shared with the media during a press conference on the project held on Thursday, September 1st, 2022, at the international conference center in Bijilo.
According to the report, the financing arrangement was modified to allow the contractor to make payment claims on an interim basis.
The initial financing arrangement for the project was for the contractor to pre-finance the works and then be paid for completed works on an annual basis, according to a defined schedule of payments. There was no provision for advance payment to the contractor, according to the report.
Asked if there could be any increase in the initial budget at the press conference, the Minister of Transport, Works, and Infrastructure, Ebrima Sillah, explained that in contracts, there is usually a provision for price escalation, “which is not applicable under this particular project.”
The Commissioner General of the Gambia Revenue Authority, Yankuba Darboe, confirmed that the contractor regularly honors tax obligations and submits the company’s audited accounts on time.
The US$35.6 million project is expected to be completed by July 2023. It was also reported that there has been progressing relating to the project’s drainage and sewerage works.
Work on the construction of the road pavement has covered 95 percent of the streets identified in the original project and 85 percent of those later added to the project, according to information received at the press conference.