Health Minister Chitalu Chilufya says government has concluded negotiations with the Indian government for the refinancing of the construction of 650 health posts by expanding the loan amount by a further US$12 million.
Dr Chilufya has told Parliament in a ministerial statement that this follows the non release of funds to support the option of Zambia National Service undertaking the completion of the 201 health posts in Northern, Luapula, Muchinga and North western provinces whose works have stalled.
He says the challenge of the non release of funds prompted renegotiations between the governments of Zambia and India towards refinancing of the project.
He states that it has since been agreed that government reengages the two contractors who are working in the other provinces to complete the health posts in the four provinces.
Dr Chilufya says the negotiations which have been concluded in principal are awaiting administrative approval from the Indian external affairs ministry.
And Dr Chilufya says a total of 327 superstructures of the 650 health posts have been completed countrywide out of which 275 have been handed over the ministry of health and are fully functional.