Announcement of Barbados Second Road Maintenance and Rehabilitation Project on June 25, 1992

FOR IMMEDIATE RELEASE World Bank 1818 H Street, N.W., Washington, D.C. 20433, U.S.A. * Telephone: (202) 477-1234 BANK NEWS RELEASE NO. 92/99 Contact: Ciro Gamarra Tel: (202) 473-8721 BARRADOS: SECOND ROAD MAINTENANCE AND REHABILITATION PROJECT The following is information on a project approved by the World Bank's Board. DATE: June 25, 1992 WORLD BANK GROUP SUPPORT: World Bank loan: $21.2 million. The World Bank loan is for 15 years, including five years of grace, with a variable interest rate, currently 7.73 percent, linked to the cost of the Bank's borrowings. It also carries an annual commitment charge of 0.25 percent on the undisbursed balance. TOTAL COST: $46.8 million OTHER FINANCING: Government of Barbados, $16 million; Caribbean Development Bank, $9.6 million IMPLEMENTING AGENCY: Ministry of Public Works, Communications and Transpor- tation (MCW) ESTIMATED COMPLETION DATE: 1997 PROJECT DESCRIPTION: The objectives of the Second Road Maintenance and Rehabilitation Project are to: (a) install and implement sound maintenance policies and procedures on the road network; (b) preserve the capital base of road infrastructure within the constraints on capital and current expendi- tures; (c) reduce investment costs through the transfer of all capital works to the private sector and explore the feasibility of private sector participa- tion in routine maintenance; (d) improve road safety; and (e) help the government in its efforts to privatize passenger transport services. The project will finance a portion of MCW's Five-Year Investment Plan, which was appraised jointly by the World Bank and the Caribbean Development Bank. The project includes: (a) road rehabilitation, including repavement, widening of the carriageway, improvement of drainage, and construction of road shoulders of Highway 6 in two sections; (b) road safety consisting of the improvement of five road intersections with substantial traffic and poor accident records; (c) an overlay program to raise standards and prevent the deterioration of the existing primary and secondary road networks; (d) bridge and culvert rehabili- tation, including the reconstruction of three bridges and the replacement of four culverts; (e) a two-year pilot program involving 65 kilometers of roads whose maintenance will be carried out by a private contractor; (f) replacement of old equipment units, rehabilitation of existing equipment where necessary, and provision of spare parts; and (g) institutional improvement, including technical assistance for a road maintenance and equipment management system and transport board operations, road network rationalization, computerization, and transport board studies, and training.