Announcement of Bank Supports Rural Primary Education Management Project in Honduras on May 7, 1987

FOR IMMEDIATE RELEASE .World Bank 1818 H Street, N.W., Washington, D.C. 20433, U.S.A. BANK NEWS RELEASE NO. 87/60 Contact: Ciro Gamarra (202) 477-5320 BANK SUPPORTS RURAL PRIMARY EDUCATION MANAGEMENT PROJECT IN HONDURAS WASHINGTON, May 7 -- The World Bank has approved a loan for $4.4 million to support a rural primary education management project in Honduras The project is part of a phased approach to support the government's efforts to improve the quality and effectiveness of education. It seeks to alleviate key constraints on the Ministry of Public Education's (SEP) capacity to plan and carry out effectively needed investments and administer the educational system. The project will strengthen the structure and management capacity of SEP and decentralize the management of rural primary education. To be carried out over 3-1/2 years, the project provides funds for technical assistance and training; equipment, supplies, furniture, vehicles and spare parts; and salaries and travel expenses for SEP staff hired full time for the project. Total cost of the project is $6.9 million. In addition to the Bank loan, the Government of Honduras is providing $2.5 million. The World Bank loan is for 20 years, including five years of grace, with a variable interest rate, currently 7.92 percent, linked to the cost of the Bank's borrowings. It also carries an annual conunitment charge of 0.75 percent on the undisbursed balances. Note: Money figures are in U.S. dollar equivalents.