Announcement of World Bank Lends Thirteen Million Six Hundred Thousand Dollars for Senegal’s Tourism on April 28, 1977

.World Bank 1818 H Street, N.W., Washington, D.C. 20433, U.S.A. • Telephone: (202) 393-6360 BANK NEWS RELEASE NO. 77/95 APRIL 28, 1977 WORLD BANK LENDS $i3.6 MILLION FOR SENEGAL;S TOURISM The World Bank has approved two loans totaling $13.6 million for the development of tourtsm in Senegal. The Petite Cote project is designed to provide basic infra- structure and corrunon faci 1 ities required to support a major tourism deve 1opmen t. • The first $5.6 mill ion Bank loan wi 11 be for a term of 20 years, including 4-1/2 years of grace, with interest at 8.2% per annum. The second $8 mill ion 11 Third Window 11 loan will be for 25 years, including 7 years of grace, and wilt carry interest at 4.2% per annum. An additional 4% will be paid to the Bank by the Interest Subsidy Fund representing the difference between the Bank's standard interest rate of 8.2% and the charge to Senegal. Note: Money figures are expressed in U.S. dollar equivalents . • FORM NO. 1121 (5-76) T EC HNI CAL D A T A PROJECT: COUNTRY: TOTAL COST: Petite Cote Tourism Senegal $17. 3 mi 11 ion • BANK FI NANC I NG: $5.6 mil lion for 20 years, including 4-1/2 years of grace, with interest at 8.2%; $8 million (Third Window) RE-LENDING: $8.2 million of the proceeds will be re-lent to the Societe d'Amenagement de la Petite Cote (SAPCO), the executing agency for the tourism infrastructure at Sali Portudal, on the same terms as the conventional Bank loan .. $0.3 million will be re-lent to the Office des Pastes et Telecommunications for construction of the telecommunications systems, also on the same terms as the conventional Bank loan. $3.8 million will be used directly by the Govern- ment for renovation work on Goree Island, and for technical assistance and studies by the Delegation Generale au Tourisme (DGT). $1.3 million wl11 finance interest during construction. IMPLEMENTING ORGANIZATION: Societe d'Amenagement de la Petite Cote 112 Rue Blanchet Dakar, Senegal Cable Address: AMEN, Dakar PROJECT DESCRIPTION: The major objectives of the project are as follows: to provide infrastructure and common facilities for the development of a beach-based 2,500-bed resort on the Petite Cote, a major tourist area where lack of infrastructure has so far l i~ited hotel development; to contribute to the~ Government's ongoing program to preserve Goree Island and its development as a tourist site by upgrading the streets, improving the harbor, and extending and renovating the Government-owned Hotel Relais de 1 1 Espadon; and to improve the sectoral planning, pro- motional, and training capacities of DGT. PROCUREMENT: Major civil works and equipment contracts will be awarded following international competitive bidding in accordance with Bank guidelines. In order to encourage such competitive bidding, project items will be grouped to the extent possible. To permit smaller local contractors to tender for works of a size within their capacity and at the same time to attract foreign bidders, contracts for civi i works wi 11 be tendered either individually or combined into bidding groups at the bidder's option. In evaluating international bids for purchasing eqLipment and some building materials, Senegalese manufacturers will be allowed a preferential margin of 15% of the cif price of competing imports, or the prevailing level of customs duties, whichever is lower. Civi I works contracts up to $200,000 equivalent, and equip- ment and materials contracts up to $50,000 equivalent, will be advertised locally and awarded in accordance with procedures for competitive bidding acceptable to the Bank provided, however, that the aggregate amount of all contracts to be awarded shall not exceed $1 million. CONSIJITING SERVICES: A total of about 50.3 man-years of consulting and tech- nical assistance services wi 11 be required approximately as ro1 (i) 8.3 man-years for final design; (ii) 12.1 man-years for construction supervis (iii) 9,3 man-years for project administration; (iv) 17.4 man-years for • technical stance to DGT; and (v: 3.2 man-years for studies. EC0NOMIC R~ ~ OF RETURN: 16% ESTIMATED COMPLETION DATE: June 30, 1980 - 0 -