Announcement of Ten Million Dollars Credit for Rural Development in Haiti on December 28, 1976

•world Bank 18W H Street, N.W., Washington, D.C. 20433, U.S.A. • Telephone: (202) 393-6360 IDA News Release No. 77/23 December 28, 1976 $10 MILLION CREDIT FOR RURAL DEVELOPMENT IN HAITI The International Development Association (1DA), an affiliate of the World Bank, approved a $10 million credit to Haiti, to help finance a rural development project in the Northern Department of the country, a densely populated region with good agricultural potential. The project will benefit directly about 4,000 rural families, increasing their on- farm consumption by about 30 percent and their average annual family cash incomes from agricultural and livestock activities from $60, on average, to about.$150. In addition, 26,000 rural families will derive benefits from better roads and improved agricultural services and will increase their subsistence consumption by up to 20 percent. The project wi 11 include rehabilitation and expansion of irrigation systems in a total of 4,900 hectares, rehabilitation and construction of 93.5 kilometers of feeder .roads, construction of up to 400 wells for rural potable water supply, extension of agricultural credit, improvement of three municipal markets and a slaughterhouse, training of local staff, and provision of agricultural extension and animal health services. The World Food Programme (WFP) will provide food for about 200,000 man-days labor for the first year of the project and is considering a Government request to give additional food for 1.8 million man-days for the final three years of the project. The credit has been approved on standard IDA terms, of 50 years and bearing no interest, with an annual service charge of 3/4 of 1% to cover administrative costs. Note: Money figures are expressed in US dollar equivalents • • FORM NO. 1121 • (5-76) T ECH N I CAL DA TA PROJECT: ~ Rural Development Project in the Northern Department COUNTRY: Haiti TOTAL COST: $1 3. 4 mi 11 i on IDA FINANCING: $10 million at standard lDA ter~s OTHER FINANCING: Government $2 million World Food Programme (WPF) $1.4 million IMPLEMENTING ORGANIZATION: Organisme de Developpement du Nord (ODN) Cap Haitien Republic of Haiti PROJECT DESCRIPTION.: The main components of the project are: 1) Rehabilitation and expansion of irrigation systems for 3,900 hectares and irrigation of up to 1,000 hectares from deep wells. 2) Rehabilitation and construc- tion of 66.5 kilometers of feeder roads and 27 kilometers of farm access roads. 3) • Construction of up to 400 wells and up to five small systems served by springs for rural potable water supply. 4) Rehabilitation and improvement of three municipal markets and an abattoir and construction of administrative, storage and housing facilities. 5) Agricultural credit to individuals and groups of small farmers. 6) Agricultural trials and improved seed multiplication. ?) Agricultural extension, rural community development and animal health services. 8) Provision of experts and training for local staff. PROCUREMENT: Contracts in excess of $50,000 for buildings, drilling of irrigation wells, anci urchase of vehicles and equipment will be awarded following international competitive bidding in accordance with Bank/lDA Guidelines. Contracts of less than $50,000 but over $10,000 wi 11 be awarded on the basis of locally advertised competitive bidding, in accordance with Government procedures satisfactory to IDA. The bulks of civil works wi 11 be carried out on force~account but local contractors will be retained for specific construction tasks. The purchase and distribution of food, under the program nFood for Work" wi 11 be obtained under World food Programme (WFP) procedures. CONSULTANTS: A six-man resident team of experts will assist in project execution, including the design of detailed· project features and the training of staff. Another 35 man-months of short-term consulting services will be provided to help with specific aspects of project implementation and to prepare development plans for the future. Three man-years of expert assist- ance wi 11 be provided to assist the Department of Agriculture, Natural Resources and Rural Development in project monitoring and evaluation. • ECONOMIC RATE OF RETURN: 14% ESTIMATED COMPLETION DATE: 1981 - 0 -