ADF, Burundi sign 4 loan and grant agreements to support socio-economic reforms, institutional modernization and good governance

12/01/2005
Share |

The ADB Vice-President for Central and West operations, Mr. Bisi Ogunjobi and Burundi’s Minister of Finances, Mr. Athanase Gahungu signed in Tunis four loan and grant agreements from the African Development Fund (ADF) to finance three important operations for a total amount of US$ 36 million equivalent to UA* 23 million. These three operations will focus on administrative modernization, basic infrastructure rehabilitation, protection of environment and reinforcement of capacity building.

The first project is an Economic Reform and Good Governance Programme (PAREG) that will enable the reform of the macroeconomic framework, by implementing appropriate measures in the areas of fiscal, monetary and exchange rate policies. The fostering of good governance will be ensured by reforming the public service and the institutions responsible for internal and external oversight of public resources management.

The objectif of multi-sector project for socio-economic reinsertion is to contribute to the socio-economic reinsertion of disadvantaged groups through job creation, reinforcement of the planning and management capacity of the ministry in charge of vocational training as well as population sensitization on the protection of the environment and on controlling HIV/AIDS.

Finally, the third initiative is part of a regional integration programme. The Tanganyika Integrated Regional Development Programme (PRODAP) intended to improve the social and health conditions of the people as well as the food situation in the Lake Tanganyika basin through the improvement of social and health conditions with the construction of health and educational infrastructures as well as the provision of more drinking water points.

The VP Ogunjobi, while congratulating Burundi on its efforts to facilitate the implementation of the Bank’s operations on its soil, underlined that the collaboration with the ADB group would be enhanced by an imminent visit to Burundi.

The Finance Minister Gahungu expressed his gratitude to the Bank for its understanding and support through the difficult time that the country experienced in its reconstruction efforts after 11 years of war. The socio-economic help provided by ADB to Burundi is essential in ensuring the cooperation of other partners to reinforce sustainable peace and development in the country. ADB Group operations in Burundi started in 1974. To date, the Group has committed in the country a total amount of US $ 440 million for 54 operations.

*1 UA =1.55301 $US as at 01/01/2005