ADB funds US$ 181 rehab project in north

Friday, 12 November 2010 00:44 - - {{hitsCtrl.values.hits}}

Total loan worth US$ 323 million; initial phase builds court complexes and road network

Cabinet has given approval for the utilisation of US$ 181 million of a US$ 323 million loan given by the Asian Development Bank (ADB).

During the Cabinet meeting on Wednesday, approval was obtained for two separate projects that will be funded by the ADB. Allocated for infrastructure and rehabilitation in the north these funds will be used to construct court complexes and roads in the war affected province.

In the first project ADB has agreed to grant a loan of US $ 7.79 million (approximately Rs.890 million) for the construction, rehabilitation and provision of related facilities to nine Courts in the Northern Province including Point Pedro, Mullaitivu, Mannar, Killinochchi, Velani and Mankulum. Construction of Courts Complex includes residential facilities for Judges on Kayts Island.

“This loan is one of the five components that will receive a total of US$ 150million granted under the Conflict Affected Region Emergency Project CARE Project funded by the ADB,” the Cabinet paper noted adding that the project is to be implemented in collaboration with the Ministry of Economic Development.

Initially it is proposed to commence construction and rehabilitation work at the Court Complexes at Chavakachcheri, Mallakarm and Kayts at a cost of Rs. 175 million.

In the second ADB funded project titled ‘Northern Road Connectivity Programme’ worth US$ 173 million selected national and provincial roads will be rehabilitated.

ADB funds...

This project has already commencted from October 2010 and will be implemented for a period of five years.

In addition, the ADB is to provide US$ 500,000 as a grant for capacity building of provincial road development in the Northern Province. The ADB will finance 89% of the total project cost and the Government of Sri Lanka will contribute the remaining 11% valued at US$ 60,000. It will rehabilitate about 142km of provincial roads.