DAR ES SALAAM, Feb. 3 (Xinhuanet) -- The Tanzanian government Tuesday signed an agreement with a Chinese company for the construction of a major water project aimed at increasing water supplies to thirst-hit towns and villages in north Tanzania.

    The agreement was inked by officials of the Ministry of Water and Livestock Production and China Civil Engineering Construction Company in the central city of Dodoma.

    The project is expected to be completed in three years and, once ready, will benefit more than one million people living in the Shinyanga region, Permanent Secretary of the Ministry Vincent Mrisho said at the signing ceremony.

    The cost of the project, which is close to the Lake of Victoria,the second largest freshwater in the world, is estimated at 85.1 billion shillings (around 77.2 million US dollars), he said.

    Owing to fund shortage, the government is incapable of building sufficient water facilities for its people, especially those in rural areas. Water is of special significance to Tanzania as agriculture, largely dependent on water, is the pillar of its economy. Enditem