Announcement of International Development Association (IDA) Approves Sixteen Million Thirty Thousand US Dollars for Rural Services in Rwanda on July 15, 1982

f)'"''·"\·• '> 1 - ' FOR IMMEDIATE RELEASE . , ~ ' • World Bar,k 1818 H Street, N.W., Washington, D.C. 20433, U.S.A.• Telephone: (202) 47f-1234 ,/ IDA NEWS RELEASE N0. 83/6 CONTACT: Pushpa Schwartz JULY 15, 1982 (202) 477-5306 INTERNATIONAL DEVELOPMENT ASSOCIATION, (IDA) APPROVES $16.3 MILLION FOR RURAL SERVICES IN RWANDA The Internatiqnal Development Association (IDA) will lend $16. 3 million to Rwanda (/ f<1r1r agricultural research and e: 1xtension support services to help farmers . in the driest 1 if p~\rt of the country. Several aid organizations, non-governmental organizations, an.d rehear.ch ins ti tut es are involved in implementing project a~ti viti.es. The French aid II · · agency, Fond d'Aide et de Cooperation, is providing $3 million in co-financing. This second credit from the World Bank's affiliate for concessionary lending will promote farm production in the(Bugesera and Gisaka Migongo regions, wl'lere some 310,000 people live on 3,000 square kilometers of land. A major problem in the two regions is the lack of wat.er. The credit continues the government's long-range rural services program begun under the. first IDA-supp.Qrted project in 1977. The first phase (1977-82) • developed infrastructure for rural services; the second phase (1983-89) will focus on increasing production of subsistence foodcrops as' well as a marketable surplus. Research activities under the project emphasizing adaptive re.search on semi-arid crops will support the work of the Agricultural Research Institute of Rwanda and the Selected Seed Service. Eighteen sectors have been selected to receive intensive assistance in extension services. Activities will focus on upgrading_ the skills of agriculture and lives tock agents and staff of the two Project Regional Centers and the agro-veterinary centers. Erosion control, preservation of soil fertility, reforestation, and intensified production of foodcrops, fruit trees, and coffee will be included in the efforts to improve extension services. Recognizing Rwanda's high population growth rate of 3.6% per annum, the project will assist the government's recently created National Population Office and establish a pilot family planning service in the rural areas. Nutrition centers in the project area, including the four new 9nes to be constructed under the project, will be integrated with the agricultura,1; extension and training programs. The IDA ere di t is for 50 \years, including 10 years of grace; it carries no interest, but bears a small ~nnu~l service charge of 0.5% on the undisbursed balance of the credit, and 0.75% on the dbbursed balances. The credit will be ~pmmitted when funds are available. • NOTE: IDA credits are denominated in SDRs (Special Drawing Rights), which are valued on the basis of a "basket" of currencies. The U.S. dollar equivalent of the SDR amount of the IDA credit reflects the exchange rates existing at the time of negotiation of the credit. \ \\