Tanzania to honour Adani Group contracts

Tanzania has affirmed its commitment to honouring existing contracts with an Adani Group unit, despite the recent US indictment against the conglomerate’s founder, Gautam Adani, a senior official at the ports authority said.

Adani and his nephew were indicted for fraud last week, accused of a $265 million bribery scheme to secure power-supply deals by bribing Indian officials. Adani Group denies the allegations.

In May, Tanzania signed a 30-year concession agreement with Adani Ports to operate Container Terminal 2 in Dar es Salaam port. Adani Ports also acquired a 95 per cent stake in Tanzania International Container Terminal Services for $95 million.

Tanzania Ports Authority Director General Plasduce Mbossa has emphasised that the country will adhere to its legal agreements and that any external actions against the Adani Group will be handled by relevant authorities.

Attribution: Reuters

Subediting: M. S. Salama