The Government of Guyana has brokered a new financing arrangement for the construction of a new crossing over the Demerara River some seven months after it signed a US$260 million contract with a Chinese joint venture – China Railway Construction Corporation (International) Limited.
The project was touted as the largest infrastructural transport project ever undertaken in Guyana to be funded by the government.
On Friday, however, a statement from the Ministry of Finance confirmed that electronic signing was completed for a concessional loan agreement with the Bank of China for 160.8 million Euros for construction of the bridge.
Notably, this loan falls below the contract sum but Public Works Minister Juan Edghill told the News Room on Friday that the bridge will now be funded in part by the loan and the remaining portion by the government.
There had been no disclosure that negations were ongoing with the Chinese for a loan.
“The bridge is being financed by that loan… along with a portion from the government of Guyana,” Edghill said.
And while some $21 billion (US$100 million) was allocated in this year’s budget to start construction, no significant progress on construction could be seen although land had been cleared for several months now.
In an earlier interview with the News Room Friday, Edghill said construction is expected to start next year and will be finished within two years.
Back in May 2022, Permanent Secretary of the Public Works Ministry, Vladim Persaud signed the contract on behalf of the government under the watchful eyes of several government ministers and the Chinese Ambassador to Guyana, Guo Haiyan.
The simple but significant ceremony was held at Nandy Park, East Bank Demerara in a cleared area where the bridge will land from La Grange on the West Bank of Demerara; it will facilitate greater traffic capacity and dramatically improve commuter convenience.
The construction of the bridge is also being hailed as a promise to the Guyanese people by the ruling People’s Progressive Party Civic (PPP/C) in its elections manifesto.
Replacing the almost five decades old current floating structure, the new 2.65 km four-lane, high-span bridge will have a hybrid design that will allow for the passage of large vessels, putting an end to the lengthy retraction periods currently endured daily by commuters.
The new structure will have a lifespan of 100 years.
