Announcement of Burundi to Assist Local Construction Industry with IDA Funds on April 15, 1982

f . FOR - . IMMEDIATE . ·REtEASf· "' . ~ re World Bank ~ r 1818 H Street, N.W., Washington, D.C. 20433, U.S.A.•Telephone: (202) 477-1234 IDA NEWS RELEASE NO. 82/56 Contact: Pushpa Schwartz April 15, 1982 (202) 477-5306 BURUNDI TO ASSIST LOCAL CONSTRUCTION INDUSTRY WITH IDA FUNDS Burundi will use a credit of SDR 4.6 million ($5.2 million) for a pilot project to as~ist the local construction industry, the International Development Association {IDA) announced today. IDA is the World Bank's affiliate for con- cessionary lending. The pilot project represents the first attempt by the World Bank to assist the development of the local construction industry in a country of the Eastern Africa region. The $7.4 million project aims at developing local resources for producing construction materials and at improving both the technical and managerial capabilities of construction companies. Through the provision of funds to finance the construction of two limekilns, each with a production capacity of 2,500 tons of lime a year, and the purchase of equipment for brickmakers and construction companies, the project will help to reduce· imports and increase company earnings. Technical and managerial assistance will be given to promoters of limekilns, brickmakers, and construction companies. To assist the Ministry of Public Works, Energy and Mining (B.P. 745, Bujumbura, Burundi, Telex BDI 48), carry out the project, the services of a construction engineer and a construction technician will be provided. The IDA credit is for 50 years, including 10 years of grace. It bears no interest but carries a service charge of 3/4 of 1% a year. NOTE: IDA credits are denominated in SDRs (Special Drawing Rights), which are valued on the basis of a "basket" of currencies. The U.S. dol-lar equivalent of the SDR amount of the IDA credit reflects the exchange rates existing at the time of negotiation of the credit • • tr