Announcement of Four Million US Dollars Loan for Improvements at Port of Dakar, Senegal on April 24, 1967

1818 H STREET, N.W., WASHINGTON D. C. 20::q.;33 TELEPHONE: EXECUTIVE 3-6360 Bank Press Release No. 67/19 Subject: $4 million loan for :improve- 1 April 24, 1967 ments at Port of Dakar, Senegal The World Bank has approved a loan equivalent to $4 million to the Port of Dakar Authority in Senegal. l he loan will assist in financing t.he exte1t.sion of 1 one of the piers and the reconstruction of two quay walls to improve berthing c~pacity and cargo-handling.efficiency, and the dredging of various areas in the port to improve access to the quays. These are the most urgently needed works in the current four-year developinent plan for th~ Port of Dakar. Dakar is the principal port of Senegal and serves land-locked Mali as well. ~ The port now handles 2.4 million tons of dry cargo annually and the volume is ex- pecteQ to rise to 3.7 million tons by 1970~ In addition, because of its geo- graphical location in relation to the trade routes of the South Atlantic Ocean, it has always been an important bunkering port. The port is efficiently operated and well maintained. The improvements now to be undertaken are essential to pro- vide for the increasing traffic. One of the quay walls to be reconstructed has collapsed and the other is in danger of collapse. The pier to be extended is the 011e that is operated as a free zone for Mali traffic. The dredging is necessary to deepen the water beside berths to acconunodate the larger draft vessels now cralling at port. The port project will complement to a certain extent the railway projects for which credits were extended in September 1966 to Senegal and to Mali by the Bank's • affiliate, the International Development Association, since the major part of the  - 2 - international traffic on the railways, including the greater part of the maritime trade of Mali, passes through the Port of Dakar. Traffic between Senegal and • Mali is regulated by several agreements including a free zone agreement providing transit facilities fo_, Mali goods through the ports of Dakar and Kaolack. Expedi ·· tious handling of Mali traffic through Dakar, therefore, is essential. The project will be carried out by the Port of Dakar Authority with the assist- ance of consultants. It is scheduled for completion by the end of 1969 at a total estima.ted ~ost equivalent to $6.9 million. The Bank loan will finance the foreign exchange costs, and the remaining costs will be financed by the Port Authority fLoill its own resources. Contracts for the work are being let on the basis of inter- national competitive bidding. The Bank loan will be for a term of 15 years and bear interest at the rate of 6% per annum. Amortization will begin in October 1970. The loan will be guaran- • teed by The Republic of Senegal. •