JUDGMENT OF TUNOI JA.
The appellant,Tononoka Steels-Limited, the plaintiff in the suit, is a limited liability company incorporated in the Republic of Kenya. It is engaged in the manufacturing and selling of steel products, especially steel pipes. The respondent, the defendant in the suit, is a body corporate established by Charter pursuant to Chapter 9 of the Treaty for the establishment of the Preferential Trade Area for Eastern and Southern African States and itsoperational offices are at Nairobi, Kenya. I shall hereinafter refer to the respondent as "The-PTA Bank".
The appellant was desirous of setting up in Kenya a plant for manufacturing steel products. By a Loan Agreement dated 1st. December, 1994 The PTA Bank agreed to finance the implementation of the project as well as the freight costs of the plant from India to the Port of Mombassa. Pursuant to the agreement, the appellant received from. The PTA Bank a term loan in various currencies equivalent-to US$675,000 .00. against cer…