Announcement of IDA Approves Seven Million Six Hundred Thousand Dollars for Chad’s Third Highway Project on July 27, 1978

, sFOR IMMEDIATE RELEASE . ' •World Bank 1818 H Street, N.W., Washington, D.C. 20433, U.S.A. • Telephone: (202) 393-6360 IDA NEWS RELEASE NO. 79/6 J !JL Y 27, 1978 IDA APPROVES $7.6 MILLION FOR CHAD'S THIRD HIGHWAY PROJECT The International Development Association (IDA), the World Bank's affiliate for concessional lending, has approved a $7.6 million credit for a Third Highway Project in Chad. The Third Highway Project is designed to improve road maintenance and to strengthen transport planning and operations. The project is expected to contribute to improving accessibility to administrative and corrrnercial centers and to some of the main agricultural production areas. • The project is likely to benefit some of the poorest inhabitants as a result of the maintenance of 1,300 kilometers of roads cind tracks in the Sahelian zone. Reduced transportation costs will also benefit the cotton industry, which is the main contributor to Chad's exports, and the economy as a whole. In addition to the IDA credit, the U.S. Agency for International Development and the African Development Fund are providing co-financing in the amounts of $9 million and $5. 1 million respectively. The $7.6 million credit to the Republic of Chad will be for 50 years, including 10 years of grace. It wi'll be interest free but will carry a service charge of 3/4 of 1% per annum to cover IDA'~ administrative expenses. NOTE: Money figures are expressed in U.S. dollar equivalents • • ~ORM NO, ·1121 {5-76) T EC HN I CA L DA T A PROJECT: COUNTRY: TOTAL COST: Thi rd Highway The Republic of Chad $21.9 million • I DA FINANCING: $7. 6 mi 11 ion ( s tan da rd I DA terms) OTHER FiNANCING: Government of Chad, $0.2 million United States Agency for International Development, $9 million African Development Fund, $5. l mi 11 ion IMPLEMENTING ORGANIZATION: Ministere du Genie Civi 1, des Mines et de la Geologie B.P. 816 N'Djamena, Tchad TELEX: 5257 KD PROJECT DESCRIPTION: The project's main components are: support of a four-year maintenance program covering approximately 5,300 km of unpaved roads and tracks; regravell ing of about 400 km of main roads by a production brigade, which will also serve as a vehicle for on-the-job training; a training program for staff of th.A Directorate of Public Works; construction of four ferry boats; technical assistance and~ fellowships to strengthen (a) the Directorate of Public Works; {b) transport planning in the Directorate of Transport; and (c) operations of the trucking industry; a study to pre- pare a rural roads project; and completion of the improvement program for cotton feeder roads, started under the Second Highway Project. PROCUREMENT: Construction and improvement of workshops and buildings (highest expected contract price·about $365,000) and office furniture, equipment and supplies (totalling about $250,000), will be procured following local competitive bidding procedures acceptable to the Association. Building materials for ferryboats to be constructed under force account will be procured following inter- national competitive bidding in accordance with IDA guidelines. CONSULTANTS: Consultant services will be required for the preparation of afeeder road study. ECONOMIC RATE OF RETURN: ESTIMATED COMPLETION DATE: 50% 1982 • - 0 -