Announcement of Republic of Malawi to Receive Fourteen Million Five Hundred Thousand Dollars IDA Credit on May 21, 1979

FOR -IMMEDIATE RELEASE . ' eWorldBank 1818 H Street, N.W., Washington, D.C. 20433, U.S.A.• Telephone: (202) 477-1234 IDA NEWS RELEASE NO. 79/76 May 21, 1979 REPUBLIC OF MALAWI TO RECEIVE ~14.5 MILLION'IDA'CREDIT The Republic of Malawi will receive a credit of $14.5 million from the International Development Association (IDA), the World Bank's affiliate for concessionary lending. The credit will be used to improve primary and secondary education, curriculum development, teacher training and educational management. The Third Education Project, with $7.5 million worth of co-financing from the European Economic Community (EEC) Special Action Account, will seek to provide textbooks to all primary school students, construct, furnish and equip primary and secondary schools and teacher training facilities, provide vehicles for school inspectorates and educational institutions, and finance studies, professional services and project administration costs. • The Education Plan of Malawi, 1973-79, prepared in the early 1970s, set broad goals for the improvement of education and stressed continuing efforts to meet manpower requirements for the technical and industrial sector. Nonetheless, there remains a shortage of trained personnel. It is estimated that some 53,000 students will benefit directly from this project, through which the country, with a literacy rate of only 25%, can expect greater numbers of well-educated citizens who will contribute substantially to the nation- building process. Additional financing is being provided by the Government of Malawi in the amount of $3.7 million. The IDA credit and the EEC credit, which will be administered by the IDA, are for a standard period of 50 years, with a 10- year grace period. They carry no interest, but bear a 3/4 of 1% per annum charge to cover administrative costs. • NOTE: Money figures are expressed in U.S. dollar equivalents. FORM NO. 1121 (5-76) T EC HN I CAL DA TA • PROJECT: Third Education COUNTRY: Republic of Malawi TOTAL COST: $25. 7 mi 11 ion IDA FINANCING: $14.5 million, standard IDA terms OTHER FINANCING: European Economic Community Specia~ Action Account, $7.5 million (administered by IDA at standard IDA terms) Republic of Malawi, $3.7 million IMPLEMENTING ORGANIZATION: Republic of Malawi Ministry of Education Private Bag 328 Capital City Lilongwe 3, Malawi Cable: MINED, Lilongwe PROJECT DESCRIPTION: It will help improve effici~ncy in, and access to, education at all levels, thus helping provide manpower needed for national development, improve curriculum development, in-service training and manage- ment of education through: a) constructing, furnishing and equipping educational facilities; b) providing textbooks for primary school stud~nts; c) providing vehicles for school inspectorates and educational institutions; and d) financing studies, • services and project administration costs. PROCUREMENT: Contracts for buildings, furniture and equipment to be financed by IDA. Total about $16. 1 mill ion, of which $10 million will be awarded through international competitive bidding in accordance with IDA guidelines. Exceptions to these guidelines amounting to $5.2 million will be for: labor; co~struction materials for self-help primary school construction (costing about $4.5 million) whfch will be financed following local procedures acceptable to IDA; other construction contracts costing less than $250,000 each; and furniture, equipment and vehicle contracts costing less than $50,000 each, the aggregate total of which should not exceed $700,000. CONSULTANTS: Consultant services will be provided for: designing and superv1s1ng the expansion of Chancellor College, Mzuzu Teachers College, the Malawi Institute of Education and three technical schools. • ECONOMIC RATE OF RETURN: n.a. ESTIMATED COMPLETION DATE: 1983 - 0 -