FOR IMMEDIATE RELEASE •World Bank 18'18 H Street, N.W., Washington, D.C. 20433, U.S.A. • Telephone: (202) 393-6360 IDA NEWS RELEASE NO. 78/62 May 1, 1978 IDA LENDS $11.5 MILLION FOR HIGHWAY PROJECT IN YEMEN ARAB REPUBLIC The International Development Association (IDA), an affiliate of the World Bank, today announced the approval of a credit of $11.5 million to help finance its Third Highway Project in the Yemen Arab Republic. This credit will be the fourteenth to the Yemen Arab Republic, bringing total IDh assistance to the country to $121.3 million. IDA's involvement in the Yemen Arab Republic's highway subsector began in 1972 with the financing of the First Highway Project. A follow- up to the First ~nd Second Highway Projects, the Third Highway Project aims to assist the Highway Authority in the introduction of effec- tive road maintenance practice~. Other objectives include the implementa- tion of vehicle loading cuntrols, planning of future highway development • and the inception of a program to strengthen existing paved roads . Under the project, a three-year road maintenance program will be initiated. The program includes the procurement of road maintenance and workshop equipment and the construction of ancillary buildings. Also to be constructed under the project are weighing stations and asphaltic con- crete tops for priority sections of existing roads. The technical assistance to be provided under the project includes the preparation of a highway master plan, provision of key personnel to strengthen the Highway Authority, and introduction of a three-year train- ing program for Highway Authority staff. The training program includes provision of buildings, equipment training staff and fellowships. The estimated cost of the project is $55.3 million. The Government of the Yemen Arab Republic is expected to finance $32.8 million, while funds from other external sources will be used to co-finance the balance. The IDA credit to the Yemen Arab Republic is for 50 years, including 10 years of grace. It is interest free, except for a service charge of 3/4 of 1% ~er annum to meet IDA's administrative costs . • NOTE: Money figures are expressed in U.S. dollar equivalents. FORM NO. 1121 (5-76) T E C HN I CA L D A TA PROJECT: COUNTRY: TOTAL COST: Third Highway Yemen Arab Republic $55.3 million • I DA FI NANC i NG: $11.5 million, standard IDA terms. OTHER FINANCING: The Government of the Yemen Arab Republic, $32.8 mill ion; external sources, $11 million. IMPLEMENTING ORGANIZATION: The Highway Authority (HA), Sanaa, Yemen Arab Repbulic. PROJECT DESCRIPTION: The project will include a three-year road maintenance program including the procurement of road maintenance and workshop equipment and the construction of related supervision of buildings for main- tenance depots, workshops, warehouses and regional maintenance offices; construction of vehicle weight control stations and asphaltic concrete overlay with related super- • vision along with detailed engineering for overlays of priority sections of existing roads; preparation of a highway master plan; technical assistance to the HA to fill key on-line position~; and a three year HA training program including the provision of training buildings, equipment, training staff and fellowships. PROCUREMENT: Equipment contracts under IDA financing will be awarded after international competitive bidding in accordance with the Bank's "Guidelines for Procurement," March 1977. Consultant services under IDA financing will be provided by qualified and experienced firms who will be employed in accordance with terms of reference and conditions satisfactory to IDA. Direct recruit- ment to fill the on-line posts in the HA by experts whose qu~lifications, experience, terms and conditions of employment will be satisfactory to IDA, will be carried out by HA itself. CONSULTANTS: Consµ 1.tants whose. qualifications, exper l er:,~e, ter.ms and condltioMs of em~loyment are satisfact6ry to IOA will be recruited for: (i) detailed engineering and supervision of construction (40 man-months); (ii) highway planning (SO man-months); (iii) training (420 man-months); arid. (iv) 20 expatriate experts will be recruited directly by the HA to fill key on-line positions (630 man-months). ECONOMIC RATE OF RETURN: ESTIMATED COMPLETION DATE: 100% 1982 - 0 - •