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Sunday Dec 15, 2024
Saturday, 22 October 2011 00:00 - - {{hitsCtrl.values.hits}}
The Asian Development Bank (ADB) has agreed to provide funding assistance of US$ 59 million for the implementation of the ‘Pura Neguma’ project, with the objective of achieving a balanced regional development in the country while improving local government infrastructure and service delivery.
The total investment cost of this project is US$ 68.77 million (Rs. 7,564 million). It includes a loan of US$ 59 million (Rs. 6,490 million) from the Asian Development Fund (ADF) while US$ 9.77 million (Rs. 1,074 million) will be provided by the Government of Sri Lanka.
The following components are expected to be implemented under the project:
(a) Improvement of local government infrastructure and service delivery in effective and efficient manner
(b) Local government policy reform and capacity building support for institutionalisation of new systems in simplified taxation, licensing, and transparent approval systems while updating the capacities of local governments to manage these systems
(c) Project management and administration support.
Accordingly, at the end of the programme, the local authorities will be more accountable and financially and technically strengthened to deliver their services efficiently and effectively.
The following specific interventions are expected to be carried out under the project:
(a) Provision of capital grants for about 100 selected local authorities for the implementation of eligible subprojects such as water supply and sanitation (including sewerage), drainage, solid waste management, roads and bridges (including suspension bridges), improvement of maternity and health centres and other local authority infrastructure facilities such as public markets.
(b) Supporting the improvement of information systems in local authorities. This includes updating and computerizing databases of rates, taxes and licenses, developing the financial accounting and asset management systems.
(c) Institutionalisation of new systems in simplified taxation, licensing and transparent approval systems while updating the capacities of local governments to manage these systems.
The ‘Pura Neguma’ local government enhancement project, which is expected to be implemented with ADB loan funds, is scheduled to be completed by 30 June 2015.
The subproject coordinating units proposed to be established in each local government commissioner’s office in each province under the supervision of the Ministry of Local Government and Provincial Councils will perform as the project implementing agencies.
The Secretary to the Ministry of Finance and Planning on behalf of the Government of Sri Lanka and the Country Director of ADB on behalf of the ADB signed the loan agreement yesterday at the Ministry of Finance and Planning.
