On behalf of six African countries, the Arab Bank for Economic Development in Africa (BADEA) has signed loan agreements with the International Monetary Fund (IMF) and the World Bank Group during their annual meetings in Tokyo, Japan, from 9 to 14 October, 2012.
The six African countries – Togo, Ghana, Guinea, Kenya, Niger and Uganda – will get a total loan of US$ 54.1 million.
A BADEA press statement, received here Monday by PANA, shows that the loans will go to the countries as follows:-
TOGO:- Under the agreements, Togo will receive US$ 9 million to finance Rural Development at the Djagble Plain Project.
The loan is to be payed back over a period of 30 years with a grace period of 10 years. It carries an annual interest rate of 1%.
The project will enhance food security and reduce poverty through the improvement of agriculture production and establishment of efficient water management facilities to secure sustainable land and water use.
GHANA:- To get US$ 8.60 million to help Ghana finance the Integrated Rural Development project. The loan is to be reimbursed over a period of 30 years with a grace period of 10 years and an annual interest rate of 1%.
The project aims to contribute to the realization of a strategy for development and poverty alleviation through equitable distribution of economic and social development in the country, which is one of the most important factors in the fight against poverty.
The project aims, in particular, to increase the productivity of small farmers, who represent the poorest segment, by providing micro-loans that enable them obtain agricultural inputs.
it also hopes to facilitate access of products to market centres by developing the infrastructure for agriculture and to improve the living conditions of rural populations through the provision of social services, construction and equipping of schools and health centers and drinking water supply.
GUINEA:- To get US$ 9.50 million to help finance the Supply of Potable Water to five cities. Repayment period is als 30 years with a grace period of 10 years and an annual interest rate of 1%.
The project is for the supply of potable water to five cities located in central region of Guinea, the North-West and South–East of the Country. It will help reduce the outbreak of water-borne disease, leading to the improvement of health conditions of the population, reduction of the hardships facing the population in obtaining water, especially women.
It will also promote economic activities leading to the improvement of the income of the citizen and their settlement in addition to the contribution to the achievement of the Millennium Development Goals.
KENYA:- US$ 10 million to help finance the RONGAI District Hospital Project. The loan is to be reimbursed over a period of 30 years with a grace period of 10 years and an annual interest rate of 1%.
The project aims to provide medical services to residents of the city of “RONGAI” and “Kubytak” centre, in addition to the provision and improvement of integrated health services, including maternity and child care, for the reduction of mortality rates among mothers and children. These are considered as the most vulnerable groups.
It will promote the provision of emergency treatment services for the victims of the high frequency traffic accidents.
NIGER:- Will receive an additional loan amounting to US$ 5 million to help finance Djoure-Djajiri – Section Goudoumaria-Djajiri Road Project. Also to be reimbursed over a period of 30 years with a grace period of 10 years and an annual interest rate of 1%.
It will promote transportation through the National Road linking the capital, Niamey, to the east, on the border with Chad and will connect among others — the Trans-Saharan Highway (Algiers-Lagos) and its connection with the Trans-Sahelien road (Dakar-Ndjamena Niamey-Zinder-Al-Fachir/ Sudan).
The execution of the project will promote regional integration through the promotion of trade with neighboring countries (Mali, Chad and Nigeria) and will reduce the effects of poverty in the project area.
UGANDA:- US$ 12 million to help finance the Masaka-Bukakaka Road Project. The loan is to be repaid over a period of 30 years with a grace period of 10 years and an annual interest rate of 1%.
It will promote economic and social development in Uganda, through the construction of roads with a high efficiency roads networks leading to the socio-economic of development of the country, in addition to the facilitation of transportation of passengers and goods, promoting tourism, which will contribute to the economic and social development in the country and reduction of poverty.
The loans were granted on highly concessional terms, in accordance with BADEA’s Six Five-Year-Plan (2010-2014), the statement indicated.