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Ethiopia: World Bank approved US$ 320 Million for New Road Project

worldbank-logoThe World Bank’s Board of Executive Directors approved US$ 320 million to finance a new type of asphalt road in Ethiopia, according to Capital.

The financing will be used to construct the 258km long Nekempte - Bure road, connecting northwest Oromia with south-western Amhara regional state.

Samson Wondimu, public relations head of the Ethiopian Roads Authority (ERA), told Capital.

The contractor which will be hired for the project is responsible for to design, build and maintain the road. According the public relations head, the contractor who will be awarded the project is also responsible for maintaining the road for five years after the completion of the construction.

The total cost of the road project will be US$ 385 million, out of this, US$ 65 million will be covered the Ethiopian government, according to Samson.

The World Bank said the project also aims to enhance Ethiopia’s road asset management practices by supporting the maintenance of selected roads covering about 200 km. The government will fund a further 200 km of roads under a parallel financing.

“Today’s project will benefit women and children by providing them with improved access, access to much needed education and medical facilities, including pre and post-natal care,” Tesfamichael Nahusenay Mitiku, World Bank task team leader, said. “Improved road conditions will also reduce the time that women spend transporting products to market, and will bring new opportunities for employment within small-scale, road-side commercial operations”.

The Ethiopian Government launched the first phase of the Road Sector Development Program (RSDP) in 1997. Since then, the size of the road network has increased from 26,550 kilometers to 85,966 km, and the roads operating in good condition has risen from 20 percent to 70 percent.

Source: Capital