Burundi: US$ 15 Million Job Creation Support Grant
Tunis, 24 June 2009 – The African Development Fund (ADF) the concessionary window of the African Development Bank (AfDB) Group, on Wednesday in Tunis, approved a grant of 15.5 million (10 million Units of Account (UA*) to finance a Job Creation Programme Support Project in Burundi.
The project is the third Bank operation in Burundi which focuses on poverty reduction through actions aimed at creating jobs and strengthening the productive base using labour intensive methods. It is designed to increase job creation opportunities in Ngozi, Gitega and Kayanza Provinces, with a view to improving the living conditions of the people
The Job Creation Support Project is part of a national programme backed by three donors: The African Development Fund, the World Bank and the Belgian Technical Cooperation (CTB). It seeks to create mass employment in the country and develop human capital in a post-conflict reconstruction phase. It will thus contribute to the achievement of the objectives of the country’s Poverty Reduction Strategy Paper (PRSP). The project design is in line with the Bank’s vision and its 2008-2011 programmes for cooperation with Burundi which focuses on the promotion of governance, security as well as equitable and sustainable economic growth.
Target beneficiaries are the urban and semi-urban inhabitants of Ngozi (30,000), the inhabitants of the three provinces (1.9 million), community associations, employees of SMEs and public works and civil engineering consulting firms, as well as producer associations. The project area, which is home to 24% of the country’s population, was selected because of the high population pressure on resources (more than 400 inhabitants/km²) and the high proportion of vulnerable people (refugees, ex-combatants and displaced persons), among other reasons.
The entire cost of the project is estimated at UA 51.01 million. The contributions of the World Bank and CTB are UA 32.11 million (58%) and UA 8.90 million. The ADF contribution represents 20% of the entire programme cost.
* 1 UA = 1.54805 US$ = 1839.49 BIF on 24/06/2009