Announcement of Eight Million Fifty Thousand US Dollars IDA credit to Tanzania for a National Site and Services Project on July 5, 1974

• INTERNATIONAL DEVELOPl\fENT ASSOCIATION 1818 H STREET, N.W., WASHINGTON D. C. 20433 TELEPHONE: EXECUTIVE 3-e360 IDA Press Release No. 74/43 Subject: $8.5 million IDA credit to Tanzania July 5, 1974 for a National Site and Services project Tanzania's national low-cost housing program will be assisted by a credit of $8. 5 million from the International Development Association (IDA), an affil·- iate of the World Bank. 'Th.e project, first in a series of proposed sites and services projects, will help strengthen the nationwide network of regional urban centers designated for accelerated growth in support of the Government's rural development effort. It will also enable the Government to extend needed infrastructure and services to ·ranzania's widely-scattered population. While the project will not satisfy the total urban housing demand, the sites and services approach, based on the prin- • ciples of self-help and self-reliance, will permit low-incom,i urban dwellers to improve their living environment in accordance with the principles of the 196 7 Arusha Declaration. The project will also help the Government to strengthen its institutional capacity to plan and implement an expanded program in the future. Over the three-year execution period, IDA funds will help.to finance project sites in Dar es Salaam and the two regional centers of Mtlanza and M>eya. The project consists of 10,600 newly serviced plots and improvements to existing squatter settlements, affecting about 8,800 dwellings. Other features :L~clude coDDDunity facilities, financing for construction loans for the purchase of building materials, a pilot nutrition project, expe11sion of town planning training facilities and consultants' services for design, engineering, project supervision and preparation of a follow-~p project. The total cost of the project is estimated at $16.7 million. The executing agency for the project is to be the Ministry of Lands, Housing and Urban Develop- ment. The IDA credit is being made to the United Republic of Tanzania for 50 years including a ten-year grace period. It is interest-free, but carries a service • ch"~rge of 3 / 4 of 1% to cover IDA' s admi.nis tra tive expenses • - 0 - Note: l<bney figures are expressed in US dollar equivalents.  July 5, 1971+ • TE CllNICAL DATA PROJECT: National Sites and Services Project OOUNTRY: United Republic of Tanzania TOTAL COST: $16. 7 million IDA FINANCING: $8.5 million, 50 years, including 10 years of grace, interest-free with a service charge of 3/4 of 1% to cover IDA's administrative expenses. OTHER FINANCING: Government, $8. 2 million IMPLEMENTING ORGANIZATION: Ministry of Lands, Housing and Urban Development (known by the Swahili name Ardhi), P.O. Box 9132, Dar es Salaam, Tanzania. PROJECT DESCRIPTION: The project consists of about 10,600 newly serviced • plots and improvement to existing squatter settlc?ments affecting about 8,800 dwellings and related infrastructure and connnunity facilities in- cluding community education centers, dispensaries and markets; construction loans for purchase of building materials; a pilot nutrition project; expansion of training facilities at the Ardhi Institute and training program for technical staff; consultants services for design and detailed engineering, overall project supervision and preparation of a follow-up project; and monitoring and evaluation of the project. PROCUREMENT: International competitive bidding for civil works. Local civil works contractors will be allowed a 7-1/2 percent preference. OONSULTANIS: Consultants for the design and detailed engineering of basic infrastructure and connnunity facilities, preparation of a follow-up site and services project and overall project supervision are specifically provided for under the terms of the project. ESTIMATED COMPLETION DATE: 1978 •