Sep 03, 2009 (LBO) – Sri Lanka will upgrade 200 kilometres of roads in the under-developed Uva province and 100 kilometres in Amparai in the eastern province with a 105 million US dollar World Bank credit, a senior minister said.
“The project is aimed at improving access to social and economic activities in the Eastern and Uva Provinces.” information minister Anura Yapa told reporters.
The ruling coalition swept recent polls in the Uva provincial council. The upgraded road will reduce passenger travel time.
Eastern Sri Lanka has recently emerged from a 30-year war with separatist Tamil Tigers.
The project is expected to start in September 2009 and be completed by September 14.
The 70.6 million special drawing rights (12.0 billion Sri Lankan rupees) from the concessional International Development Association (IDA) window will have a commitment fee of 0.5 percent on the undrawn balance and 0.75 percent charge once drawn down.
It is repayable in 20 years with a grace period of 10 years.