Tanzania has turned down a request by the United Nations in Tanzania to pay for a $10 million five-year rent for an office building for UN agencies, saying a poor country like Tanzania can’t afford the amount.
The permanent secretary in the Ministry of Finance, Mr Ramadhani Khijjah, said in Dar es Salaam over the weekend that the amount was enough to build permanent offices for the UN agencies operating in Tanzania.
It is the government that pays rent for UN offices.
Mr. Ramadhani was reacting to queries on the outcome of weeklong investigations by a local newspaper (The Citizen) that the Finance ministry was in the process of paying US$10million five-year rent for an office building for the UN agencies that does not meet the UN’s minimum operations security standards (MOSS).
“With US$10Million, you can put up a new building that meets UN standards. Besides, this amount is too huge compared to the market price of between $14 and $18 per square metre,” said a member of the Ministerial Tender Board of the ministry of Finance.
Industry sources said the rent of $10million works to $50 per square metres, which is $30 more than the market price at Masaki and Oysterbay, adding that the government was paying $19 per square metres at International House where some of the UN offices are currently accommodated.