The National Microfinance Bank (NMB) has agreed to provide a loan to the government, which owns an 85% stake in the UDART company, to procure over 100 additional rapid transit buses.
Speaking at a media briefing in Dar es Salaam today, July 15, 2024, Treasury Registrar Nehemia Mchechu highlighted the government’s commitment to bolstering UDART’s fleet. Mchechu emphasized that UDART, initially managed by the private sector with minimal government involvement, had accumulated substantial debts, particularly in its bus fleet operations.
“In the past two months, we’ve been in discussions with DART, the infrastructure management company, and UDART, which oversees operations and the bus fleet,” Mchechu stated.
“We are set to increase the number of buses, and tomorrow I will meet with NMB and representatives from UDART, DART, and LATRA to finalize the financial arrangements for acquiring no fewer than 100 buses that will greatly benefit us,” he added.
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Mchechu also stressed the importance of diversifying bus operation management to mitigate risks associated with over-reliance on a single operator.
“At this stage, we aim to engage at least five or six companies, rather than relying on just one. This approach ensures that if one encounters issues or strikes, the entire city doesn’t grind to a halt. Having multiple operators also facilitates easier assessment of service quality,” he explained.
“We anticipate a six-month period from placing the order to the buses’ arrival. Tomorrow’s meeting with NMB will provide clarity on the timeline for delivery. I trust UDART’s Managing Director and Board to communicate these developments to the public, but our role is to ensure they have the necessary funding,” Mchechu concluded.
The expansion of UDART’s fleet is expected to alleviate transportation challenges in Dar es Salaam, enhancing commuter experience and supporting the city’s ongoing urban mobility initiatives.
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