Announcement of 6.7 Million Dollars Credit for a Second Railway Project and 9.5 Million Dollars for a Second Highway Project to the Republic of Mali on April 19, 1973

• INTERNATIONAL DEVELOPMENT ASSOCIATION f 1818 H STREET. N.W., WASHINGTON D. C. 20433 TELEPHONE: EXECUTIVE 3-6360 IDA Press Release No. 73/24 ~ubj'ect: $6. 7 million credit for a second April 19fl 1973 railway project and $9.5 million for a second highway project to the Republic of Mali Continuing i ~ a5::istance to the Republic of Mali in developing a modem transport sector, the International Development .Association (IDA), an affiliate of the World Bank, has approved two credits for a second highway project and a second railway project. Like other land-locked West African countries, Mali's transport infra- • structure is extensive and requires substantial investments. The system con- sists of a 400-mile railway {Regie du Chemin de Fer du Mali -- RCFM) which links the capital Bamako with Dakar, via the Senegalese railway; about 8,000 miles of roads of which 1,900 ailes provide all-weather service; about 1,000 miles of inland waterways; and an international airport at Bamako u well as local airports for domes tic needs. IDA first assisted the development of Mali's transportation system with a $9 .1 million railway credit in 1966 and provided a $7. 7 million credit in 19 70 for highway maintenance. IDA has now approved a second credit of $6. 7 mil..· lion for a $9.3 million railway project and a second credit of $9.5 million for a $20.5 million highway project. The new railway project consists of track renewal, ballasting and weld- ing; minor bridge repairs; provision of locomotives and rolling stock; and • technical assistance. It will help improve RCFM's role in the transport sector, satisfy rail transport demand and establish the railway's financial viability. /more IDA P.R. No. 73/24 -- Mali -- highways and railways - 2 - •, . ~ France's Fonds d' Aide et de Coope1·ation (FAC) is providing $1. 8 million equivalent with the balance being supplied by RCFM out of its own resources. The project complements Bank Group assistance to Senegal to improve its rail- way line which links RCFM with Dakar. The new highway project will upgrade the road system and includes the rehabilitation and strengthening of the 96-mile Bamako-Bougotmi trunk road and the 142-mile Bamako-Segou trunk t·oad; technical assistance for the con- tinuation of Mali's ongoing highway maintenance and feeder road betterment progt·,am; purchase of highway maintenance equipment; detailed engineering for upgrading the 74-mile Bamako-Kolokar1i road; and a study of the trucking industry. The U.S. Agency for International Development (USAID) has made $9.0 million • availa!b.le for the project. The remaining cost of the project would be covered by the Government of Mali. The USAID loan will finance the cost of the Bamako-Bougouni road and part of the road maintenance equipment. It is for 40 years, including a 10-year grace period, with annual interest of 2% during the grace period and 3% there- aft;er. The FAC financing is partly a grant and partly in the form of a loan of 16 years, including one year of grace, at 3% interest a year. The IDA credits are for 50 years, including 10-year grace periods, and are interest free except for a 3/4 of 1% service charge to cover IDA's administrative expenses. •  • IN'IERNATIONAL DEVELOPMENT ASSOCIATION '1 " 1818 H STREET, N.W., WASHINGTON 25, D. C. TELEPHONE: EXECUTIVE 3-6360 - .. .I ~ April 19, 19 73 TECHNICAL DATA PROJE(.'T: Second Railway COUNTRY: Republic of Mali TOTAL COST: $9. 3 million IDA FINANCING: $6.7 million, 50 years, 10 years of grace, 3/4 of 1% service charge to cover IDA's administrative expenses. OTHER FINANCING: Fonds d' Ai-1e et de Cooperation {FAC); Regie du Chemin de Fer du Mali (RCFM}. • IMPLEMEMTING ORGANIZATIWS: RCFM, Bamako; and Ministere d'Etat, Charge des Transports, des Teleco111nunications et du Tourisme~ B~ako, Mali. PROJECT DESCRIPTION: Track ®l.'ld build1.ngs: eq·u.ipment for and renewal of 13 .3 miles of track, ballasting of 130 miles of line, joint welding of 236 miles of rails, and minor repairs to bridges; Rolling stock: 4 main line locomotives, 5 shunting locomotives, 2 railcars~ 6 trailers,· 4 passenger coaches, 125 freight cars, and spare parts for rolling stock; Management: equipment for accounts/statistics, consulting services, and training. PROCUREMENT: Intemational competitive bidding except for 4 main line and 2 shunting locomotives to be purchased in France. CONSULTANTS: To be selected. ESTIMATED COMPLETIOO DATE: July 1977. - 0 - •  Q \'. y E L o l',t, t;, J., INTERNATIONAL DEVELOPMENT ASSOCIATION (/IDA)) .._______________________________________________r 181.8 H STREET, NW, WASHINGTON 25, D C. TELEPHONE: EXECUTIVE 3-6360 April 19, 1973 TECHNICAL DAl'A PROJECT: Second highway CDUNTRY: Republic of Mali TOTAL COST: $20.5 million IDA FINANCING: $9.5 million, 50 years, 10 years of grace, 3/4 of 1% service cll::-g~ to cover IDA ws administrative expenaea. OTHER FINANCING: United States Agency for International Development; Govem- • ment of MalL IMPLEMENTING ORGANIZATIW: Directorate of Public Works in the Ministry of Industrial Development and Public Works, (Direction Nationale des Travaux Publics, Ministere du Developpement Industriel et des Travaux Publics), Bamako, Mali. PROJECT DESCRIPTI~: Improvement of two major trunk roads totaling about 236 miles under the supervision of conaultanta; continuation of the ongoing highway maintenance and feeder road bettennent program with supplementary technical assistance and training; purchase of highway maintenance equipment; detailed engineering by consultants for upgrading of the 74-mile Bamak.o-Kolokani road; and a study of the trucking industry. PROCUREMENT: Goods and services will be procured 1.mder intemational competitive bidding procedures except construction of the Bamak.o-Bougot.mi road which will be tendered according to USAID regulations, and the purchase of equip- ment financed by USAID which will be tied to American procurement. CX>NSULTANTS: SEMA (Mali) and SCET International (France) for the detailed engineering of th~ Bamako-Kolokani road; International Labor Office and Bureau Central d'Etudes pour lea Equipments d'Outre-l1er (France) for the highway maintenance and training programs. Fcaaibility studies for the project were carried out by Kez International Ltd., (Canada). • ESTIMATED COMPLETIW DATE: JW1e 1978. - 0 -