Tunisia - Fifth Highway (Rural Roads) Project

Document of FILE COPY The World Bank FQk OFtICIAL USE ONLY Report No. P-3219-TUN REPORT AND RECOMMENDATION OF THE PRESIDENT OF THE INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT TO THE EXECUTIVE DIRECTORS ON A PROPOSED LOAN TO THE REPUBLIC OF TUNISIA FOR A FIFTH HIGHWAY (RURAL ROADS) PROJECT February 26, 1982 This document has a restricted distribution and may be used by recipients only in the performance of | their oflicial duties. Its contents may not otherwise be disclosed without World Bank authorization.  CURRENCY EQUIVAtENTS. Currency Unit = Tunisian Dinar (DT) The exchange rate of the Tunisian Dinar is floating. The rate which is used in the Staff Appraisal Report approximates the current rate. It is; US $ 1 = DT 0.513 DT 1 = US $ 1.95 DT 1 million = US $ 1.95 million REPUBLIC OF TUNISIA FISCAL YEAR January 1 through December 31 ACRONYMS AND ABBREVIATIONS BNT - National Bank of Tunisia (Banque Nationale de Tunisie) CRDA - Regional Agricultural Development Commission (Commissariat Regional de Developpement Agricole) CTV - Extension Work Center (Centre Territorial de Vulgarisation Agricole) DPC - Highway Department (Direction des Ponts et Chaussees) GR - Rural Engineering Department (G6nie Rural) MA - Ministry of Agriculture MPF - Ministry of Planning and Finance MPW - Ministry of Public Works MTC - Ministry of Transport and Communications ODA - Official (bilateral) Development Assistance PPAR - Project Performance Audit Report SCM - Mutual Credit Guarantee Society (Societe de Caution Mutuelle)  FOR OFFICIAL USE ONLY Tunisia Fifth Highway (Rural Roads)Project Loan and Project Summary Borrower: Republic of Tunisia Beneficiaries: Ministries of Public Works, Agriculture, and Transport and Communications Amount; US$35.5 million equivalent, including a capitalized front-end fee. Terms: 17 years, including four years of grace at interest rate of 11.6 percent per annum. Project Description: The project, which is a follow up to the Third Highway (Rural Roads) Project, Loan 1601-TUN of July 24, 1978, is designed to improve the level of access and increase agricultural production in rural areas in Tunisia. It consists of the following components; (i) a three-year (1983-85) program of rural road improvements; (ii) a program of complementary investments and improvements in agricultural extension and credit services; (iii) a program of improved rural road maintenance; (iv) a program of spot improvements to feeder roads; (v) a road safety component comprising equipping five vehicle inspection stations; and (vi) technical assistance for project preparation, implementation and monitoring; agricultural extension training; research on materials, construction techniques and maintenance for unpaved roads; and a study of the socio-economic, agricultural and transport impact of rural roads. The main benefits of the project would be in the form of assured and less expensive transport of essential agricultural inputs and crops, and increases in farm income and employment. The main risk of the project lies in the timely implementation of a variety of investments and activities by a number of agencies and on the pace of farmer response to improved transport infrastructure, extension services and access to credit. The institutional arrangements and the comprehensive monitoring and evaluation system, which will be introduced under the project, minimize the risk. This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization.  - ii. - Project Costs: Local Foreign Total -------------US$ Million---------