Germany has provided N$372.6 million in concessional financing towards the N$498.6 million rehabilitation and expansion of the Karibib-Usakos road, covering the bulk of the cost of upgrading the key logistics route.
The project involved the rehabilitation and expansion of 31.2 kilometres of Trunk Road 7/1 between Karibib and Usakos into a 2+1 carriageway, with dedicated overtaking lanes, wider shoulders and new surfacing.
The financing, equivalent to approximately €20 million, was provided by the German Federal Ministry for Economic Cooperation and Development through KfW Development Bank as an interest-reduced loan with a 10-year repayment period.
The upgraded road was officially opened by Works and Transport Minister Veikko Nekundi, Erongo Governor Dr Nathalia /Goagoses and Germany’s Ambassador-Designate to Namibia Thomas Wimmer.
The road forms part of strategic transport corridors connecting the Port of Walvis Bay with neighbouring SADC countries and is expected to improve the movement of goods along one of Namibia’s key logistics routes.
The N$498.6 million contract also covered infrastructure improvements within Karibib and Usakos, including new parking bays in Karibib and a roundabout in Usakos.
Work is still underway on a bridge over the Kanone River to improve access to the hospital in Usakos.
Zhongmei Engineering Group was the main contractor on the project, supported by Namibian companies Tangeni OM Trading Enterprises, West Trading, INO Investment Holding and Alughodi Engineering & Construction.
Namibian partner contractors accounted for an estimated 25% of the project, while other local SMEs were contracted to provide road-marking, cleaning and security services.
More than 500 people have been employed through the project to date, with women accounting for 25% of the workforce.
Cement, steel, fuel, interlocks, aggregates, kerbing and other construction materials were also procured locally.
The Karibib-Usakos project forms part of the broader Support Programme for Road Rehabilitation financed under Namibia-Germany development cooperation.
Germany has provided about N$1.3 billion, equivalent to €80 million, towards the three-phase programme, which has also supported the Windhoek-Okahandja corridor and rehabilitation of a section of the B1 between Keetmanshoop and Mariental.
Since Namibia’s independence, Germany has co-financed more than 1,700 kilometres of trunk, district and access roads through grants and concessional loans.
Overall German financial and technical support to Namibia since 1990 exceeds €1.6 billion, equivalent to about N$32 billion.
KfW currently has approximately €580 million, or N$11.6 billion, in projects under implementation in Namibia, with a further €35 million, equivalent to around N$700 million, in projects under preparation.
