Announcement of Mali to Receive IDA Assistance for a Road Maintenance Project on March 5, 1981

. " FO~ IMMEDIATE Rl:LEASE .world Bank 18'18 H Street, N.W., Washington, D.C. 20433, U.S.A.• Telephone: (202) 477--1234 IDA NEWS RELEASE NO. 81/47 March 5, 1981 MALI TO RECEIVE IDA ASSISTANCE FOR A ROAD MAINTENANCE PROJECT The International Development Association (IDA) has approved a credit of SDR 13.4 mill ion ($17 million) for a road maintenance project in Mali. IDA is the affiliate of the World Bank which lends on concessionary terms. The project has a total estimated cost of $43.3 million and is designed to protect the physical and institutionai gains made to date in the highway sector under three previous IDA credits. Over the two and a half year life of the project a program of routine maintenance, covering about 6,600 kilometers (km) of national, regional, and feeder roads, will be undertaken, and periodic maintenance will be carried out on 680 km of paved roads and 220 km of gravel roads. The project will include institution-building components aimed at • strengthening the Equipment Service and Training Center of the Ministry of Transport and Public Works. It will a·1so finance the establishment of a trans- port data collection unit in the National Transport Office and provision of four portable weighing-scales to start random axle-load control on a regular basis. The project will reduce the backlog in road maintenance. The resulting substantial reduction in transport costs will slow tariff increases to the benefit of both producers and consumers. The Governments of Switzerland and of Mali will contribute $10 million and $16.3 mi 11 ion, respectively, towards the cost of the project. The IDA credit is for 50 years including 10 years of grace. It carries no interest but will bear a service charge of 3/4 of 1% per annum to cover IDA's administrative expenses. NOTE: IDA credits are denominated in SDRs (Special Drawing RJghts), whic~ are valued on the basis of a 11 basket 11 of currencies. The U.S. dollar equivalent of the SOR amount of the IDA credit reflects the exchange rates existing at the time of negotiation of the credit . • FORM NO. 1121 (5-76) T E C HN I CA L D ATA PROJECT: COUNTRY: TOTAL COST: Road Maintenance Repu bl i c of Mal i $43.3 million • IDA FINANCING: SDR l3. 4 mi 11 ion ($17 mi 11 ion), standard IDA terms OTHE~ FINANCING: Government of Switzerland, $10 million; Government of Ma 1 i , $16. 3 mi 11 ion IMPLEMENTING ORGANIZATION: Ministere des Transports et des Travaux Publics Bamako, Mal i TELEX NO. 972557 DIRTRAVAUX PROJECT DESCRIPTION: The Road Maintenance Project will consist of: (i) a two and a half year program of routine maintenance of 6,600 km of a. national, regional,and feeder rpads. It includes strengthening of the Equipment Service and Training Center of the Ministry of Transport and Public Works; (ii) periodic main- tenance of 680 km of paved roads and 220 km of gravel roads by force account and contrac- tor; (iii) ve:-dcle axle-load control; and (iv) assistance to the Ministry of Transport Public Works in setting up a transport data collection unit. PROCU.REMENT: Road maintenance equipment, workshop equipment and tools,. furniture, teaching materials,and field vehicles for the Trtiir,~ .g Center, amounting to about $5.2 mi llion)will be procured following international competi- tive bidding in accordance with Association guidelines. Spare parts to repair existing equipment,total ing $2.5 mill ion, construction and improvement of buildings and workshops, and periodic maintenance by contractor, amounting to about $6 million, which will not attract competition of foreign contracting firms because of their 1 imited size and scattered nature, may be procured following local competitive bidding in accordance with local procedures acceptable to the Association. CONSULTANTS: Technical assistance under the Third Highway Project, begun in March 1980, will be continued. ECONOMIC ~TE OF RETURN: ESTIMATED COMPLETION DATE: 50% 1983 - 0 - •