Announcement of Seven Million Dollars IDA Credit for Agriculture in Liberia on April 21, 1977

.World Bank 1818 H Street, N.W., Washington, D.C. 20433, U.S.A. • Telephone: (202) 393-6360 IDA NEWS RELEASE NO. 77/47 Apr i 1 2 l , 1977 _$7 MILLION IDA CREDIT F0R AGRICULTURE IN LIBERIA The International Development Association (IDA), the World Bank affiliate, has aporoved a $7 mil lion credit for an agricultural develop- ment project in Liberia. The main aim 0 f the project is to increase the farm income and improve the quality of life of small-scale farm families in the Bong County of the West African nation. The families live on average holdings of about 2 hectares of land and have an average per capita income if about • $70. The project will introduce, for the first tim~ in the area, a pack- age of relatively simple and inexpensive technology, combined with a set of farm support services and essential infrastructural improvements like farm-to-market roads, banking facilities, village wells, and a training center. About 9,000 small farm families are expected to benefit directly from this project, which also forms an integral part of a comprehensive rural development program of the Liberian Government. The $7 million IDA credit will finance 34% of the total cost of the project, estimated at $20.3 mil 1 ion. The United States Agency for International Development (USAID) is also expected to assist the project with a loan, while the remaining balance will be borne by the Government of Liberia. • The IDA credit is granted on standard terms of 50 years, including 10 years of grace. It is interest free, except for a service charge of 3/4 of 1% to meet IDA's administrative costs. NOTE: Money figures are expressed in U.S. dollar equivalents. FORM NO. 1121 (5-76) T E C HN I CA L D A T A PROJECT: COUNTRY: TOTAL COST: Bong County Aqricultural Development RepubJ ic of Liberia s20.3 million • !DA FINANCING: S7 mi 11 ion, stcridarcl I ['p terns OTHER FI NANCI N'G: ~ 0 vernrient of Liberia, United States Aqency for International Jevelopment (lJSAID) IMPLEMENTING ORGANIZATION: Bong Project Management Unit, t1inistry of Agriculture, nonrovia, Liberia PROJECT DESCRIPTiON: The 0rcject will assist about 9,000 smal 1 farmers in the upper 3onq Coun tv to deve 1op about b, 000 hectares (ha.) of urland rice, 2,ano ha. of swamp rice, 3,~00 ha. of cocoa and 1,500 ha. of coffee through nrovision of farm inputs on the basis of credit, extension services for crop production and land develonnent and assistance in prccPssi~9 ~nd marketin0 of crops. In addition • the project will: (a) construct or recondition ~00 kilometers of farm-to-market roads and ma i n ta i n 5Li O k i 1ome t er s ; ( b) es tab 1 i sh fa rme r cooper a t i v cs ; ( c) he 1p es tab l i sh bankinq facilities in the project area; (d) improve apricultural research facilities at Suakoko; (e) provide schistosomiasis surveillance and construct 300 village wells; (f) train Liberians and strenothen institutional framework for aqricultural development; and (g) provide technical assYstance for project preoaration. · PROCUREMENT: Contracts for vehicles, equipments and similar items valued at more than $50,000 will be through international competitive bidding in accordance with !DA 9uidelines ~,ith standard preference provision for locally manufactured goods. Items costing between $5,000 and $50,000 and civil works will be through local competitive bidding procedures acceptable to IDA. Contracts for items costing less than ~5,000 will be through local customary procedures satisfactory to IDA. CONSULTANTS: The oroject will include a feasibility study for a third in- tegrated agricultural development project tentatively identi- fied in Grand Gedah County; a detailed study on reorganization of Ministry of Agriculture; a study on Liberia's agricultural research requirements and institutional arrangements and a small survey to explore possibility of citrus industry in Liberia. The above will involve about 70 consultant man-months. ECONOMIC RATE OF RETURN: 21% • ESTIMATED COMPLETION DATE: 1982 - 0 -