Document of F\LX t0§?Y The WorldBank
FOR OFFICIALUSE ONLY Public Disclosure Authorized
ReportNo. P-2376-CoJ
REPORT AND RECOMMENDATION
OF THE Public Disclosure Authorized
PRESIDENT OF THE
INTERNATIONAL DEVELOPMENT ASSOCIATION
TO THE
EXECUTIVE DIRECTORS
ON A
PROPOSED CREDIT
Public Disclosure Authorized TO THE
FEDERAL ISLAMIC REPUBLIC OF THE COMOROS
FOR A
HIGHWAY PROJECT
September 19, 1978 Public Disclosure Authorized
This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization. CURRENCYEQUIVALENTS
Currency Unit - Coorian Franc (CF) (The CF is fully convertible into French Francs at CF 50 = FF 1)
Calendar 1977 July 1978
US$1 CF243 CF222 CFl,o0o US$4.12 US$4.51 CF1O00,000 US$4,120 US$4,505
(The AppraisalReport is based on US$1=CF245)
FISCAL YEAR
January 1 to December 31 FOR OFFICIAL IJSF ONLY ,ufiW9K(uS h1GhWA rxU0JE CT
CREDIT AND PROJECT SUMMARY
Borrower: Federal Islamic Republic of the Comoros
Beneficiary: Ministry of Equipment, Improvement of Territory and Quality of Life
Amount: US$5.0 million equivalent
Terms: Standard
Project Description: a) Objectives: To assist the Government in strengthening its road administration, to upgrade and expand the main road network, and to assist in preparation of a subsequent highway project and of an integrated rural development project.
b) Major Components: (i) Road construction (about 20 km) and supervision; (ii) Establishment and operation of one road improvement unit, two patching units and one resealing unit; (iii) Improving mechanical workshops and equipping a soils laboratory; (iv) Technical assistance and training; and (v) Feasibility study and detailed engineering for a future highway project, and preinvestment study for a future integrated rural development project.
c) Benefits: Strengthening of planning, coordination and im- plementation capacity of road administration; upgrading the road network through road maintenance, improvement and construction programs providing increased accessibility and reduced transport cost for rural populations; prepara- tion of future projects in roads and rural development.
d) Risks: Government ability in handling first Bank Group project, providing local funds and recruiting necessary qualified staff, which could result in implementation delays.
Estimated Project Costs: US$ million Local Cost Foreign Cost Total Cost
Road construction and supervision 0.54 2.84 3.38 Road improvement and maintenance 0.43 2.94 3.37 Workshops and soils laboratory 0.01 0.23 0.24 Technical assistance and fellowships 0.11 0.97 1.08 Studies 0.09 0.46 0.55 Subtotal 1.18 7.44 8.62 Contingencies: Physical 0.14 0.88 1.02 Price 0.20 1.22 1.42 Total Project Cost, net of taxes 1.52 9.54 11.06
This document has a restricteddistribution and may be used by recipientsonly in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization. - ii -
Financing Plan:
US$ million Percent of Local Foreign Total Total
IDA Credit 0.24 4.76 5.00 45
African Development Fund Loan 0.72 3.78 4.50 41
OPEC Special Fund Loan - 1.00 1.00 9
Government 0.56 - 0.56 5
Total 1.52 9.54 11.06 100
Estimated US$ million Disbursements: IDA FY 1979 1980 1981 1982
Annual 1.55 1.55 1.10 0.80
Cumulative 1.55 3.10 4.20 5.00
Rate of Return: 13 percent
Staff Appraisal Report: No. 1930b-COM, dated August 1, 1978 INTERNATIONAL DEVELOPMENT ASSOCIATION
REPORT AND RECOMMENDATION OF THE PRESIDENT TO THE EXECUTIVE DIRECTORS ON A PROPOSED CREDIT TO THE FEDERAL ISLAMIC REPUBLIC OF THE COMOROS FOR A HIGHWAY PROJECT
1. I submit the following report and recommendation on a proposed development credit to the Federal Islamic Republic of the Comoros for the equivalent of US$5.00 million on standard IDA terms to help finance a hignway project. The project would be cofinanced on a parallel basis with a loan of US$4.5 million equivalent from the African Development Fund for a period of 50 years including 10 years grace, with an administrative charge of 0.75 per- cent per annum, and a loan of US$1.0 million equivalent from the Opec Special Fund for a period of 20 years including 5 years grace, with an administrative charge of 0.75 percent per annum.
PART I - THE ECONOMY
2. A report entitled "The Economy of Comoros" (Report No. 1626a-COM) was distributed to the Executive Directors on July 26, 1977. An updated sum- mary of the conclusions is set out below. Country data sheets are provided in Annex I.
3. The Comoros Archipelago, located at the northern end of the Mozam- bique channel, consists of four islands: Grande Comore, Anjouan, Moheli and Mayotte, about 100-300 km distant from one another. Following a referendum held in December 1974, Grande Comore, Anjouan and Moheli declared unilateral independence in July 1975, while Mayotte decided to remain French.
4. The country's relatively small land area is characterized by a rugged topography of volcanic origin and lush vegetation. The climate is marine tropical marked by heavy rains during the six month rainy season. The vast majority of the 380,000 people (1977) live in rural areas and derive their livelihood from agriculture. The staple crops are rice, bananas and coconuts; meat, and fish in the coastal areas, are a minor part of the diet. High-value export crops such as ylang-ylang, cloves and vanilla grow well in the coastal areas up to an altitude of about 500 m. However, as population is dense and agricultural practices are rudimentary, food crop production is insufficient to meet local needs and most of the export revenues are spent on food imports. Malnutrition is widespread. Non-agricultural activities are limited, and consist mainly of ylang-ylang distillation into perfume essences, a small soft drinks bottling plant, a sawmill, a brickworks, a furniture factory and a soap factory.
5. Social services are also limited. Although all children attend koranic schools until they are able to read classical Arabic, only half of -2- the children of school age attend primary classes. Furthermore,these classes are overcrowdedand about two thirds of the teachers are insufficiently trained. Thereafter,only 7 percent of the relevant age group enter secondary schools, which are almost entirely dependent on expatriate teachers. Between 1970 and 1975 enrollment ratios doubled at the primary level and tripled at the secondary. Little vocational training took place until 1975 when the InternationalLabor Organizationhelped establish an artisan training center. During the period 1966-76 only about 40 Comorian graduates from foreign universities(10 percent of the total) returned home. Medical services are as limited as the educational system. There are 5 doctors in state service, with an undeterminednumber in private practice; 2 hospitals and 6 health centers, totaling about 660 beds; 4 rural maternity wards, totaling 26 beds; and 46 health posts. These resourceshave proven insufficientto curb endemic diseases such as malaria, which affects 80 percent of the population,and to reduce the high infant mortality rate.
6. Lack of adequate infrastructureis another constraint to develop- ment. The transport of food and export crops requires all-weather roads, but many villages are not linked to the main road system or at best are con- nected by tracks that only four-wheel drive vehicles can manage. Public power supplies are available only in two cities and fall short of demand. Water supply is scarce on Grande Comore where there are no perennial rivers.
7. The French Administrationincreasingly supplemented the scarce local resources in the early 1970s, thereby improving considerablythe Comorian economy until independencein 1975. From 1970 to 1974, France financed about half the costs of administeringthe territories through a variety of services included in the metropolitanbudget, made available about 1,500 persons for local administrationstaffing, and provided direct budget support, representing a total of about US$80 million equivalent for the period. Investments,mainly in public works and house construction,accounted for about 30 percent of GDP. With an annual increase of 6-7 percent in the real domestic product, GNP per capita reached over US$200 in 1974, an average which partly reflectedhigher expatriate salaries.
8. Almost immediatelyfollowing Independence,Comoros faced a budgetary and financial crisis, as France withdrew its financial aid and most expatriate personnel. Comoros managed initially by cutting back drastically on most activities (e.g., closing secondary schools) and delaying a number of payments including, occasionally,salaries. Total public expenditure dropped by about half; investment plummeted. The national income fell by 13 percent in 1975 and 9 percent in 1976, leaving the per capita income at about US$150. In response to worldwide appeals for help, some free food and medical supplies were contributedin early 1976. A few months later, the Special Arab Aid Fund for Africa provided a concessionaryloan of US$10 million, and the People's Republic of China made available US$10 million equivalent. In spite of this assistance and in view of the traditionallylarge trade deficit, the Government had to curtail imports drastically. - 3 -
9. In 1977 the Government continued to confront an extremely tight financial situation. Tax revenues, mainly based on imports, declined while at the same time expenditures increased, owing in part to emergency assistance that had to be provided to about 18,000 Comorians repatriated from Madagascar and to victims of a volcanic eruption on Grande Comore. The Government reorganized the administration, substantially reducing the number of civil servants, halved the salary levels of remaining staff and authorized expendi- tures only on an ad-hoc basis as and when resources became available. Even so, the overall 1977 budget deficit amounted to about US$10 million. As the loan of the Special Arab Aid Fund for Africa was exhausted, the deficit was financed mainly by aid from Libya, Saudi Arabia and the European Development Fund, advances by the Comoriaa Currency Board and the gold tranche drawing on the International Monetary Fund.
10. Comoros will have to continue to rely on foreign financial and technical assistance, on terms as concessionary as possible. Current revenues are insufficient to run government services, and it will take some time before an adequate administrative base can be built up, and government revenues in- creased. About US$10 million budgetary aid, and some US$15 million for project implementation, would be required annually over the next few years to allow a steady resumption of economic activity. Aid agencies should be prepared to finance considerably more than the foreign exchange costs, if the lack of local funds is not to impede successful implementation of their assistance. Comoros will also need considerable technical assistance. The administration experiences severe shortages of qualified staff and has a very limited capa- city for project preparation and implementation; the Kuwait Fund has provided a four-man team to help prepare projects in agriculture and highways.
11. Comoros has potential for development and may be able in the longer run to obtain a growth of about 5 percent per annum. It has been estimated that the agricultural production could increase as much as five-fold with the introduction of new food crops such as maize, and new techniques instead of the traditional farming practices, which are eroding the soil. Establishment of small import-substitution or larger export-oriented industries could solve the long-term problems of absorbing an increasing labor force and raising incomes above subsistence levels. A major problem which the Government will have to address is that of rapid population growth. Deforestation is extremely serious, especially in Anjouan.
12. With respect to basic infrastructure, the Kuwait Fund provided US$5.4 million in 1976 to complete road construction initiated under the French Administration, and Government attaches importance to the enlargement of the ports. Saudi Fund is also providing assistance in infrastructure con- struction.
13. The Government intends to set a climate favorable to private national and foreign investment, and does not envisage major changes in economic policies and monetary arrangements. An organization called CREDICOM, jointly owned by the Caisse Centrale de Cooperation Economique (France) and the Comorian Government, provides medium-term credit for the private sector. There is only - 4 -
one commercial bank, a subsidiary of the French-owned Banque de Madagascar et Comores. Comoros continues to belong to the French franc zone, whereby France guarantees full convertibility of Comorian francs into French francs and allows drawings on an operation account which ensures free capital move- ments between the two countries. As of June 30, 1978, Comoros' official holdings of foreign exchange were about US$4.7 million, equivalent to about two months of imports. At the end of 1976 total public debt stood at US$17 million and debt service amounted to 5 percent of export earnings in that year.
PART II - WORLD BANK GROUP OPERATIONS IN COMOROS
14. Comoros joined the Bank in December 1976 and the Association in December 1977. The first economic mission visited the country in December 1976; its report (referred to in paragraph 2 above) was circulated to the Executive Directors on July 26, 1977. Our future lending to Comoros will concentrate on agriculture and transport, emphasizing institution building and technical assistance, and is aimed at helping Comoros achieve financial and economic viability. We expect to appraise an export crop improvement project before the end of FY79, and a rural development project is being prepared for the Nioumakele peninsula.
15. The proposed highway project would be the first Bank Group operation in the country.
PART III - THE TRANSPORT SECTOR
16. The transport infrastructure in Comoros comprises two ports, four airports and about 700 km of roads. There are no railways or navigable rivers. Comoros' long distances to foreign markets, its small islands, the absence of a harbor for large ocean-going vessels and the rugged terrain create special transport problems and make transport expensive.
17. The islands' port infrastructure is rudimentary. Only small vessels can approach the existing quays at Mutsamudu in Anjouan, and Moroni in Grande Comore. Other ships must lie offshore and be unloaded by dhows; during the cyclone season (November to April), this procedure is dangerous and ships are reluctant to call at the islands. Most of the freight is shipped to the ports of Majunga or Dar es Salaam, from where it is transshipped to Comoros. Govern- ment owns landing craft tankers used mainly for inter-island freight traffic and to a limited degree for passenger transport.
18. An airport capable of accommodating jumbo jets has been recently constructed at Hahaya on Grande Comore. In addition, each island has an air- port suitable for DC4s or Boeing 737s. Although the number of airports is adequate, all need some upgrading. Air Comores, operating three DC4s, serves the inter-island traffic, which is the most important means of passenger transport, given the lack of adequate passenger shipping services. 19. The road network comprises about 340 km of paved roads, 375 km of dry weather roads and tracks. The length and condition of the network are inadequate. Large portions of the country are served only by tracks which become impassable during the 6-month rainy season. Road maintenance is carried out only sporadically, as Government lacks an efficient administrative organization, equipment and funds to adequately maintain and improve its road network. The vehicle fleet comprises about 1650 units, mostly small and medium size cars, with one motor vehicle per 200 persons. Traffic volume is low, and only the main road axes around the towns have traffic of up to 250 vehicles per day.
20. The Ministry of Equipment, Improvement of Territory and Quality of Life is in charge of public works. Its Directorate of Equipment and Improve- ment of Territory administers all matters relating to road infrastructure, gives technical advice to local administration, prepares minor design for civil works and buildings through its Technical Studies Division, and awards and follows up on civil works contracts, including those for procurement of equipment. The Directorate's Road Maintenance Division has three subdivi- sions, one for each of the three islands, which are in charge of road mainte- nance and minor construction works done by force account. Maintenance and construction of minor rural roads are carried out by local communities with self-help. The Directorate operates one main workshop at the major town of each island.
21. Development of the transport sector is one of Government's priori- ties, specifically, transforming Mutsamudu into an international port to reduce transshipments through foreign ports, and expanding and upgrading the road network on all the islands to facilitate rural development. The Govern- ment is now completely dependent on its own local staff for highway related matters and faces a severe shortage of trained and experienced staff at nearly all levels. Engineers and technicians are in short supply and only one engineer has substantial experience in civil engineering. There are no mechanical engineers or transport economists in the country; qualified mechanics and equipment operators are scarce. As a result, the Comoros will depend heavily on foreign expertise in the near future. Financially, it will also have to rely on foreign assistance to carry out any sizeable project. The Saudi Fund and the Kuwait Fund are assisting in the construction of major roads, and the latter has also agreed to finance equipment and technical assistance for road maintenance; the European Development Fund has agreed to finance equipment for a road improvement unit. The proposed project has been designed in close consultation with these agencies to ensure that it would complement their assistance.
PART IV - THE PROJECT
22. A report entitled "Staff Appraisal Report, Highway Project, Comoros," (No. 1930b-COM) dated August 1, 1978, is being distributed separately. A sup- plementary project data sheet is given in Annex III. The proposed project was identified by a transport sector mission in March 1977. For its preparation, - 6 -
the UNDP agreed to finance the required detailed engineering studies for the road construction component. As the project scope was enlarged during ap- praisal in October 1977 in view of co-financing possibilities, the Association made available an advance of US$80,000 under its Project Preparation Facility to enable consultants to identify specific needs for road improvement and maintenance as well as for training of local staff. To this end, the Govern- ment has engaged French consultants BCEOM. The project was appraised in October 1977. Negotiations were held in Washington D.C. from May 10 to 12, 1978. The Comorian delegation was led by the Minister of Foreign Affairs.
Objectives
23. The objectives of the proposed project are to assist the Government in meeting the most pressing needs for improving the country's road infra- structure and its related administrative institutions, through expansion of the main network, establishment and implementation of a three-year road improvement and maintenance program, and provision of technical assistance. The project also includes studies for preparation of a subsequent highway project and an integrated rural development project.
Description
24. The proposed project comprises:
(i) road construction and supervision of 20.4 km in the Nioumakele area on Anjouan;
(ii) road improvement, including urgent repairs of 700 m of a main road on Anjouan, and establishment and operation of a road improvement unit;
(iii) road maintenance, comprising establishment and operation of two patching units and one resealing unit;
(iv) improvement of workshops and procurement of workshop equipment and tools;
(v) procurement of soils laboratory equipment;
(vi) technical assistance for: improving highway mainte- nance; setting up an appropriate administrative structure; establishing and implementing a road improvement and maintenance program; and on-the-job training of local staff;
(vii) fellowships; and
(viii) studies: detailed engineering of the Fomboni-Hoani- Miringoni road (25 km); feasibility study of the Miringoni-Nioumachoua road (20 km) and, if feasible, detailed engineering for this section; and a rural development preinvestment study for the Nioumakele area to be served by the proposed road. -7-
(i) Road Construction and Supervision
25. The proposed project provides for the construction to paved standards, and related supervision, of a 20.4 km ro,1 on the Nioumakele peninsula on Anjouan island, including 15.7 km of main road from Ongoujou to M'Ramani with a 5 m bituminous pavement width and 4.7 km of access roads from Antsahe to Dziani, and Antsahe to Niambamoro with a 3.5 m bituminous pavement width. The new alignment will follow the existing track, which is in poor condition and impassable during the rainy season. Given the rugged terrain with slopes as steep as 30 to 40 degrees, the heavy rainfall, and the predominantly clayish soils, paving is necessary io prevent washouts. The road serves one of the country's most densely populated and underdeveloped areas with agricultural potential. Present traffic volumes are about 30 vehicles per day in the dry season but are expected to increase to 100 vehicles per day once the road is improved.
(ii) Road Improvement
26. A 700 m stretch of the zoastal road near Mutsamudu on Anjouan required urgent repairs, namely (i) an increase in the height and repair of an existing retaining wall along a section of about 500 m; (ii) new construc- tion of about 200 m of retaining wall, and (iii) reconstruction of about 150 m of washed away sections of the road pavement. The coastal road is the only link between the western part of the island and its major city and only harbor, Mutsamudu, and present traffic is about 200 vehicles per day. Early repair of this section was required to avoid it being completely washed away, which would have cut off about one third of the island's population from the rest of the country. These works, which were carried out between March and June 1978, would be financed under the proposed credit (see paragraph 37 below).
27. About 120 km of tracks on the three islands will be upgraded to all- weather standards over a three-year period (1979-81). Most of these tracks are at present in bad condition and only passable during the dry season. The works will consist of partial improvement of the alignment, including the necessary earthwork, spreading of a gravel layer and providing the necessary drainage facilities, such as ditches, culverts and bridges. The proposed project will finance equipment, spare parts and operating expenditures for
IL fuel and imported materials for the project period, as well as technical assistance for the operation of one road improvement unit. It complements technical assistance and equipment being provided by the European Development Fund and the Kuwait Fund.
(iii) Road Maintenance
28. Routine and periodic maintenance of the paved road network will be improved through the project over a three-year period (1979-81); routine maintenance for earth roads is carried out primarily by labor intensive methods and will be improved with the Kuwait Fund's assistance. The proposed project will help create two patching units and one resealing unit, through financing of equipment and spare parts, provision of operating expenditures - 8 - for fuel and imported materials over the project period, and technical assis- tance for the unit's operation, complementing equipment being provided by the European Development Fund and the Kuwait Fund. The project includes a spare part stock for existing and new equipment procured by the various aid agen- cies. The two patching units will repair the paved road surface and edges; the resealing unit will reseal the paved roads on an average of every seven years. These units will be sufficient to adequately maintain the country's paved network. It is expected that over the three-year period, a total of about 190 km will be resurfaced, and patching and repair of pavement edges will be done annually on about 250 km.
(iv) Workshops
29. The buildings and offices of the three central workshops at Moroni, Mutsamudu and Fomboni, which handle repair and maintenance of all road equipment, will be repaired and extended. The project will also provide for the required workshop equipment and tools, and technical assistance for the workshops' organization and operation.
(v) Soils Laboratory Equipment
30. A soils laboratory will be established for carrying out the soils tests required for the road improvement program, road construction and for future civil works in the country. The project provides financing for the equipment to carry out these tasks.
(vi) Technical Assistance and Fellowships
31. The proposed project will finance about 126 man-months of consul- tant services. A team of 5 consultants would be employed over twelve to thirty-six months, as well as various short term consultants for a period of six months, to assist Government to implement the three-year maintenance and improvement program, and train Comorian staff. Consultants financed under the Project Preparation Facility helped determine the country's needs to adequately maintain the road network, define training needs and a three-year road maintenance and improvement program, and prepare bidding documents for items to be procured under the project. Consultants will be employed on terms and conditions satisfactory to the Association (Section 3.02, draft Development Credit Agreement). The project will also provide fellowships for training of Comorians abroad.
(vii) Studies
32. The project includes: (a) Detailed engineering of the Fomboni- Hoani-Miringoni road (25 km); (b) a feasibility study, detailed engineering and preparation of bidding documents for the 20 km Miringoni-Nioumachoua section, serving a rich agricultural area whose potential is constrained by lack of an all-weather road; and (c) a preinvestment study for an integrated rural development project on Anjouan island, to be served by this project's road construction component. -9-
Cost Estimates
33. Total project costs are estimated at US$11.06 million, net of taxes, including a foreign exchange component of US$9.54 million or 86 percent. Detailed costs are as follows:
US$ million Description Local Foreign Total
Road construction and supervision 0.54 2.84 3.38 Road improvement 0.26 0.74 1.00 Road maintenance 0.17 2.20 2.37 Workshops 0.01 0.19 0.20 Soils laboratory equipment - 0.04 0.04 Technical assistance 0.11 0.95 1.06 Fellowships - 0.02 0.02 Studies 0.09 0.46 0.55 Subtotal 1.18 7.44 8.62 Contingencies Physical 0.14 0.88 1.06 Price 0.20 1.22 1.42 Total project costs, net of taxes 1.52 9.54 11.06
Financing Plan
34. The financing of the proposed project would be shared by IDA, the African Development Fund, the OPEC Special Fund and the Government. The IDA contribution of US$5.0 million, representing about 45 percent of total project cost, would be applied towards the setting up of one resealing and two patching units, the financing of road improvement and maintenance equipment, including spare parts, materials and fuel. It would also cover the cost of building repairs and equipment for workshops, soils laboratory equipment, the major part of technical assistance and the proposed studies under the project. On August 18, 1978, the African Development Fund and the Comoros signed an agreement for a loan of about US$4.5 million equivalent for a period of 50 years, including 10 years grace, with an administrative charge 0.75 percent per annum for the construction and supervision of the Nioumakele road. On July 28, 1978 the OPEC Special Fund and the Comoros signed an agreement for a loan of US$1.0 million equivalent for a period of 20 years, including 5 years grace, with an administrative charge of 0.75 percent per annum to assist in financing road improvement and maintenance equipment, technical assistance and fellowships. The Association will be the executing agency for items financed by the OPEC Special Fund. A Memorandum of Understanding with the OPEC Special Fund will be executed after the credit has been approved. Fulfillment of all conditions precedent to disbursement of the OPEC Special Fund loan is a condi- tion of effectiveness of the proposed IDA credit (Section 6.01, draft Develop- ment Credit Agreement). Contributions by IDA, the African Development Fund and OPEC Special Fund would cover the full foreign costs of US$9.54 million plus US$0.96 million of local costs. The balance, mainly salaries for local staff estimated at US$0.56 million, would be financed by Government. - 10 -
Project Implementation and Procurement
35. The Ministry of Equipment, Improvement of Territory and Quality of Life, through its Directorate of Equipment and Improvement of Territory, will be responsible for overall project execution and, in particular, will be in charge of overall planning and budgeting for road improvement and mainte- nance operations. The Directorate's road maintenance division will be respon- sible for the execution of maintenance and road improvement, which will be done by force account, and for maintenance and repair of equipment. The technical assistance team under the project will operate in an advisory capacity within the Directorate; its team leader will be responsible to the Dirctorate for supervising the implementaton of the road improvement and maintenance programs. Project implementation and procurement will be as follows:
(a) Construction of the Nioumakele road will be carried out by con- tractors on the basis of unit prices, following international competitive bidding in accordance with African Development Fund's guidelines. Work is expected to start during the first half of 1979 and will be completed within one year; supervision of construction will be carried out by consultants selected by the Government and employed on terms and conditions satisfactory to the African Development Fund.
(b) Repair of 700 m of main road on Anjouan has been carried out by contractor. The contract was awarded with the Association's approval, fol- lowing local bidding procedures since the scope of the work and its relatively small cost (US$140,000) would not have warranted international competition bidding.
(c) Improvement of tracks and maintenance of paved roads will be carried out by mechanized brigades on force account, which would be the most efficient method for this type of work in the country. Work will follow a program out- lined by consultants under the technical assistance component; the program will be reviewed annually and submitted for the Association's approval three months before the start of each year's work (Section 3.05, draft Development Credit Agreement). The program is expected to start late in 1978 (following arrival of equipment to be procured under the project). The Ministry will prepare the necessary drawings and carry out the engineering surveys; its soils laboratory to be established under the project will carry out the required soils tests. Consultants will help execute and supervise the works, and will ensure cost control and efficiency of the units' operations. Upon completion of the three-year program, the units will continue to be used by Government for road improvement and maintenance work.
(d) Improvement of workshop buildings and method of execution, either by force account or by local contractor, depending on costs and construction period, will be defined by consultants. Works are expected to start during the second half of 1978 and will be completed by early 1979.
(e) Technical assistance, will be provided by a consultant firm at an average total cost of US$7,000 per man-month. - 11 -
(f) Equipment and spare parts, workshop tools and equipment, and soils laboratory equipment will be procured on the basis of negotiated con,ractb following international shopping among potential suppliers in line with Bank Group Guidelines. This method of procurement has been found to be the most adequate, given (i) the small number of individual items to be procured, (ii) the need for standardization so that the equipment financed under the project will complement that provided by European Development Fund and the Kuwait Fund, and (iii) the lack of response to international competitive bidding for similar types of equipment recently purchased with European Development Fund financing. The list of road maintenance equipment to be procured under the project was agreed with Government. The requirements for spare parts and workshop tools and equipment, and soils laboratory equipment will be determined by consultants during project implementation. The Ministry of Equipment, with assistance from consultants under the project, will be in charge of procurement.
(g) The studies will be carried out by consultants to be selected in agreement with the Association, as Government does not have the capacity to carry them out itself. The studies are expected to start in early 1979 and will be completed by mid 1980.
36. Until 1977, local funds for road improvement consisted essentially of revenues from tax on gasoline, which were allocated to a Road Fund ear- marked for that purpose. Although Comoros will continue to depend on foreign financing for new highway construction and maintenance, Government will re-establish the Road Fund in order to ensure, following project comple- tion, adequate financing of its road maintenance program from domestic re- sources (Section 4.03, draft Development Credit Agreement).
Disbursement
37. The IDA credit will be disbursed against 100 percent of foreign and local costs of the selected components, excluding local salaries. As mentioned in paragraph 22, in order to allow detailed definition of the road maintenance and improvement components, up to US$80,000 is being made available under the Project Preparation Facility to finance consultant services. The advance will be reimbursed to the Association out of the proposed credit upon its effective- ness. Retroactive financing up to US$140,000 as from March 1, 1978 is proposed for the repairs of the 700 m road section near Mutsamudu described in paragraph 26 above (Schedule 1, para 2(a), draft Development Credit Agreement).
Benefits and Justification
38. The proposed project is expected to yield benefits in several areas. Firstly, it will assist in the establishment of an adequate road administra- tion, through an organization study, provision of technical assistance to im- plement the study's recommendations and on-the-job training and training abroad of local staff, so that gradually fewer foreign experts will be neces- sary. The institution building component accounts for about 15 percent of the project cost, for which no economic rate of return calculation has been attempted. Secondly, the project will provide the administration with the - 12 - means to carry out its tasks, through the financing of additional road equip- ment and initial stock of spare parts, fuels and other imported materials for a three-year road maintenance and improvement program. This project com- ponent accounts for about 40 percent of total cost, and is expected to yield an overall economic rate of return of 17 percent (resulting from rates of 34 percent for the resealing and patching units and 12 percent for the improve- ment unit), through reduction in vehicle operating costs and the provision of all-weather roads to some areas with only dry-weather access at present. Thirdly, the road construction element, about 40 percent of project costs, will benefit one of the most densely populated and underdeveloped areas, paving the way for a planned integrated rural development project through which agri- cultural net value added could increase as much as five-fold. The expected economic rate of return of this component, evaluated as a combined road con- struction/rural development project, would be about 12 percent, depending essentially on the success of the rural development project. The project's overall economic rate of return is about 13 percent. Social benefits to be derived from the road cannot be quantified but are expected to be considerable. Among these are road user time savings and better access to social facilities.
Risks
39. There are no major technical risks involved in the proposed project, and provisions have been made for an adequate preparation to minimize subse- quent project implementation delays which would increase costs and postpone benefits. Sensitivity analyses have been carried out, considering the risks of lower than expected benefits, and the results are still satisfactory. Should lower than expected traffic growth and/or unit vehicle operating savings reduce benefits by 20 percent, the rate of return of the resealing and patching component would be about 28 percent, and of the improvement component, 10 percent. Should the integrated rural development project planned for the Nioumakele area be postponed, the rate of return for the related road cons- truction to be financed by the African Development Fund could be as low as 8 percent, but it is expected that the project, which is proposed for IDA financing, will proceed as scheduled.
40. However, Government may face some difficulties with the recruitment of necessary qualified staff and with Bank Group procedures, since this would be Comoros' first Bank Group-financed project. The possible shortage of local funds for financing even the small portion of local costs required under the project, is also a risk. However, project preparation has been satisfactory, and the implementation schedule adopted seems realistic. Close supervision during project implementation will be undertaken.
PART V - LEGAL INSTRUMENTS AND AUTHORITY
41. The draft Development Credit Agreement between the Federal Islamic Republic of the Comoros and the Association, and the Recommendation of the Committee provided for in Article V, Section 1 (d) of the Articles of Agree- ment of the Association are being distributed to the Executive Directors separately. - 13 -
42. The draft Development Credit Agreement conforms to the usual pattern of agreements on highway projects. Special conditions of the project are listed in Section III of Annex III. Fulfillment of all conditions precedent to disbursement of the OPEC Special Fund loan is a condition of effectiveness of the proposed credit (Section 6.01, draft Development Credit Agreement).
43. I am satisfied that the proposed credit would comply with the Articles of Agreement of the Association.
PART VI - RECOMMENDATION
44. I recommend that the Executive Directors approve the proposed credit.
Robert S. McNamara President
Attachments September 19, 1978
Page 1 of 4 page.
CCHOQS * IONDLINSCATORS DATA INE[? L4AD iAtTA CTMOU KNIE *...... -----...-D. .. , RI!...... CRtNC COUNT4tES (19701 TMTAL 2.2 Holy RECENT 10PTC. 1.2 9*0 I91 C0ESTIMATE 04AMA SOTSWANA MAURITIUS ...... NS4 PER eAPITA fUSS) .. . 170.0a 100.0 190.0 350.0 ......
IDPJLATI.4 A4N VITAL STATISTICS ...... - 4 SOPULAYtIN (l?O-DR. ILL!ON) 0.2i 0.28 0.34, 0,5 0.6 0.,a
2 PJULAYIOI. OTNS!TP PER SOIJar K. 96.0 124.0 146 .0 41.0 1.0 400.0 PER :V'K4. ASPICULTURAL LAND 216.0 256.0 302 60t6.0 I.0 746.0
1 T T V AL RTATTSTTCS rQPjO) 9741`4 RATE C/T4U, Ay) 48.9 147.9 46.6 43.0 a6.2 35.9 CRUOU trATA RATE (/TMOU,Av) 31.5 25.6 21.7 26.2 25.4 5.9 pjAI4OT MORTaLITYRAc t flUM .O 200.0 .. .. C7.0 LIVE EXPECANCNV AT DIRT" CYRS) .5.0 41.0 1 63.2 Insl RFPRTOLC7TTON RATE 2 .7 2. 2.9 1.9
POPULA7Ir4 GD44TH RATE (0) TOTAL *.. 3.7* .2 d 1.9 2.A, JRA .. .. 6-5 3.7 1,L,a 5.l 0 JRRAN POPULATtO It DF TOT Li 14.6 7.8 9.5 11.5 7.3 05.3
A^P RTPUCTuJE (PERCENTi I TT 14 VEARS 142.6 .1.0 L4.3/ 40.1 147.5 41,9 15 T0 6d4YEiPS 514.1 514.2a 52,32 5A 1 146.9 54.S 45 yFAIR AN40OVER 3.3 4.B5 3.-4 3.4 56 31.6
ASI M0PETEn.NCY NT03 0.9 0.8 0.9/ 0.0 1.1 0 e ECG4nmT4 OEt CECy RATIO 0.0.9 09 I. e.6/b
ACCEPT!NS CCU4ULATIVE, TW* 49.6 'As4IlVPetRN C3F gil .q 4.T. I! OP ILR'71 WOWENI ..
*. TOTAL LAROR PoPCE tT40UIANDS 1140.0 184.0o *. 210.0 LA410 FORCE IN149ICuLTUR (t) .; 87 3 87.2 65.0 ,, 1,5 JNPM"LOVFn t0 OF 140 FORCEE. *. *. - . 17.3
INC14E OtSTRIBLUT13N
1 orP PrIVATI TIO'40A rIeo' cr- 4IOMc ST S1 OF 4OUSIWOLOS , WIC04ST 20t OF 400JS1OLoS . . LOwf9T 20t OF 4OJSIMOLDS . . LOnECT 40X OF HOUSCHOLD1
D?4TRIOuTIOt4 nr LAND OWSHtRESIP
01400 Cr T0p 10X OC fleMfOS , .* .. Tl. 0/C i O!. O... S..LLE. T IOt OVNE.S ;.. 2.0 41 6 T L, 4 AND suT4tTIo4 .- O'JLATIOJN PER AYSIECIAN 14380.0 ,, 143000.0 231t20.0 14750.0 4220.0 JPULATItN RJR 9U!4S1p4 PERSON 35O,.0Ob 22900 190.0 a240.0a200.0 710.0 *DPuL&TItI tPER 4OOSPl,L St 500.0 a 500. 0 490.S0 /c.d 70.0 30 0 2t0 0
PC* tAPI?o SUPPLY OP CALOR1IE (t OF EIQUPEIRENTS) ., .. , tO0.0 *7.0 104.0 97nF 1SR0I5 SEI DAY) .6.0 65.0 60.0 'OF 470.4t IN7L ANO PULSE * 20. 0 33.0 1o. 0
0069. RATE (I/TiOUH3 iEs I4. .. *- .t .. .
S JCA?TTOl
ADJUSTED 5NRDLL4f4T RATI0 *RECiM4ARY SC'OOL .* *- 51.0 2.0 66.0 79.0 SECONDARY&SCMDL ,.0 7 0 9.0 35.0 P1AR0 OIF SOWOLINM PROVIOK . fFiURT 4NO 5ECOND L1V1Li . 13.0 13.0 12.0 12.0 14.0 VDCAT15AAAL ENNOLLWI'AT 10 OF~ SYOONOARY)S 0 AOULT LIT7 CY RATE fOj 20 0,. I. 1.0 1.0 ...... ~ ~ ~ ~ ~ ~ 2./i.
*ERsINS PER rqo'4 (IJ9SA.i 3CCUPIED OAELLIXRS '?T0UFT
A40C0S T! FLfCTRiCITY '' '' .. (X OP ALL DWELLINGS) ,, 20.0 .' 9.0 RURALE eLLINGS CttCl E .. .. *...... L. CT.. TY CS)
taDfln Rce9 0 IEs tlPER ToUot POP S 87.0t n0.o 105.0 13.0 102.0 PA50ENIER CARR (PER T4OU POPS ., .4 .. *., 3.0 15.0 !LECTRTCYETTT KW0yR IPER APi 5.0 7.0 12-0j 28.0 , 263.0 YEW4OPR?NT (KS~YR PER CPU .. .
...... NOTES .Afl .EP.N .N..ON...... - Ab2E I Page 2 of 4 pages NOTES
Unless otherwise noted, data for 1960 refer to any year between 1959 and 1961, for 1970 between 1968 and 1970 and for Most Recent Estimate between 1975 and 1975. oDueto imnmgration population growth rate is higher than the rate of naturel increase. Mauroti.s has beeen nelccted as an objective country since it is another isolated Indian Ocean Island with a srall population do-snant ag-scultoral sector, han achneved and a a rapid rate of growth of GDP, diversified it. productnve bane and checked of oth population. the expansion
COMOfOS 1960 a 1962; A Including midwives and assistant nurses. 1970 /a 1966; A Ratio of population under 15 and 65 and over to total labor force; A Goveranent hospital establishments. MOSTRECENT ESTIMATE: 1976; /b Ratio of population under 15 and 65 and over to total labor force; jc 1972; [L Government hospital establishments; /e As percentage of population. ThE GAMBIA 1970 A UN rate of natural inoreene and IBRDpopulation growth rate not comparable, due to different A census bases; Including midwives and assistant nurses; /c 1966, government only; [L 1964-66. BOTSWANA 1970 [N 1964-70.
MAURITIUS 1970 A Due to emigration population growth rate is lower than the rate of natural increane; A Ratio of population under 15 and 65 and over to total labor force; /c Sugar land only.
June 1, 1977
DEcedITIONSOF SOChL IIIDICATCIS Lnd AreI (thou kD25 Pealatica ocr aaraia Tatel - Octal erfece area cs.apriaing pearson - Papulaion divided by o-eber of practicing land area ad ioland wetera nale ad feale graduate nurses, "trained" at "certified" Agric. - Mact receat entiMtce of agricultural nar.ea, and area aced tap.ar-rily or pare- auxilicry percoensl with traiaing or experience. acatly for srapa, peatarac, macbet & kitchen gardens or tc lie fellow. Peaulatica cer heacital bed - Pepulation divided by etcber of hospital bede GNP 'ee taciay(550) - GNPper capita ectieacce at cnrreat rket prinea, reahil ican acerand Prlvadte aucciag hoaen nad eatabliudb epit1 f cacalched by same caevaraiaemethod as world Back Atlaa (1973-75 bacic); c.-tcdic1 snd 1960; 1970 and 1975 data. preventive care. Per .c.ita supply ofnalories (% of reairemeata) - Computed fretenergy Poelatlioa cad eitaietaciacisc qu ivaleatof mat food eupplies cvcilcblein country per capita per dcy; Available cappliec Paealaegoa(mid-sear millioe) As af coapria- doceatic produntion, iLpocrt I.c exports, and July firac: itf et evailable, verage changes in atock; net supplies exclude of two cad-year estimates; itA60,1970 and 1975 data. cnial feed, ceeds, quentitiea seed in food processing cnd losse in distribution; reqairenente cre estiascced by FAOba..d am phyaiological Poculation deacicy - nercanace ke - Mid-year popalatiae _eeds for aoal activity and health caneid- (150 hntaec) of catal crec. per sqntre kilomaeter ering envirmonental teaperature, body weigsta, age cd ccc Populatiom populatioa, aendallewing 10% for waste dittrihbtiona of dee-itv - ee aquare ka ofcRric. land - Coepated aa cbose for at howehold level. Per Caeita aucply of (ar erpraeaj day) - Protein coneact of per naptit acriculcaral laed only. mat euPply of food par day act eapply of food is defined as cbo,e; require- Vitalecaciecice intmatfor all countries ectabliahed by LUSAEcoeoric Recareh Services provide for a oibaumnn llovance of 60 gren of total Crede birth rate per thoaand. earage - Annual live birtha protein par day, and per thouasend of 20 grac of anial and pulce protaia, of which 10 grc chuld mid-year populction; tee-yr ariclDctic -erag. ending in 1960 cnd bh animal and five-yecr average ending in 1975 for mact 1970, protein; thea- ctaadardc arc lever than thoce of 75 greea of total protein recent estimte. cd 23 gra of eardsu proteia cc cm earage fat the world, prepocd by PAO trade death rate ear tho,iaad. average - Annucl deaths par thousand of oid-year in the Third World Food Survy. population; too-year critaectia averagee coding in 1960 and 1970 and five- year average ending in 1975 for mact recent etinte. Per cacice eroccia cued, fret niecl aed eule - Protege upply ef food derived fret alad e paca-aday. ped Ipaet martalicv rate b/thou) - Aemual decchc of iofaoc aeder ame peer of ag Death ratef/thou) per theaped live births ae 1-4 - Annual deathe per thou...d in cga grop 1-4 Lfcactcesv D ar, to childr o in chic age groap; cuggected as an at birth (yea) A-dvragmmacher Of yes-e of life remaieiag at malatritiom. indicatcr of birth; u-ually five-year averages ending to 1960, 1970 snd 1975 for develop- ing cosntrie. Id-ation Groce reerodacciaa rate - Average etcher of lice daughtera a woosen il hear Aduc ted orollaneoc ratio - pri_mr school - Rorelbeec of all ages ac to her normel reproductive period if abe experience preeet ceetegetge-.pa.ific of primary par- fertility cacai c; imaludac childrc aged 6-i1 y ; ucstlly fiva-peec average eadiag in 1960, 1970 and 1975 but adjute:d for diffgrent lengths of prin ry cdneatiec; for countriea with for eveopngRrtscon etrite c.t ot l os o nd *n u l Poaclctiomcrowth rate (C) - total - pCompundalik growthro t ratesr t s off iod-yeri yn un ivers l ed acation, ec ro lleo t myexceed 100% si mace pupill are belo w poptalatiom for 1950-60, 1960-70 cod 19751-75.Adotderlu or choe the official school age. trci-ec odrehol-Cpadcchs;ecoar Ppocica ewbrc t -arba - Soptad like growth race of total aduccc rqie c es f yearperof approved papalatcia; differeat defie,ttioma of arban primer7 inatrctiom; areas may affect comparability of prosidec gendorl, vecatiooci or coDng tehrieon mtotoafrppl data coniftritc. of Urdefian aician 12 to 17 yearc of age; cerrape nce can"" amre genorally xcIded. CXof cocci) - fctio of trbao to total populatiom; diffarent Yes. af scehelbig dafinicbooc of urhaa areas may effect oemparebility eravided (fin cod cecend levels) - Tetal pecer ef of date coong contrie. echooling; et ecocod level,dry t cetioni inJtrnYCtio tnaye pcrcialy or nd erccre(6erycent - thildra (05-14yacra), working-age (15-64 years), Vocational nrolemnt fue f - Voc tio al ieayndar)ipacicutiac tellde o,,fdan Agedeecodency 5trogratio - 4Eccie of population under 15 nd 65 cnd over to thoce dutltrcyrtdepartnsa af ccodary Liteloacitatioma. raeedssc (hich toperaea andwie)pendnl r-a inaoic deenOdeonc ratio - Rctio of populction under 15 65 cad over to ddceecege of coc adult popuctam ad 15' toare d evr. theorcetolhor ae grup a 15-4 pere..f.. l OP1t ad15yrs dovr a elaciec.ils t- ccer tor (oldlative. thou; - tCuanlative netber of .cceptat HRouitg of hirth-coctrol devic-a mader .u.pices of tionel fmily plarting progre paeraocp rroom cioceinceptiam. (urban) - Average netherof percooaper ceo t occupied Pails lanaia- acref Yofstrrid ceoveoci~~~~~~~~~~analdnellinga in urban cr.aa; duellioge eanlude nm-peenenet oen -Pcctge of married womne of ccncu e nccupied prc child-hoirg ( a;ge %15 who ace birth-comtrol devicee to all married Occueted g Ito pe dwt eteace in cete age group, i c dng to~~~~1uran cd rurl aerac itchauc inside or outcide pipad water facilictec cs parcecctge of ToetorneatbAccfecrtoTtlaf -tEof Ijelactive a11 occupied d-elling orce (thoucd *xcludi- cgaly active p drcot, including aroed electricita all - Cornntionaml erctricity in lvn qu rcaaelc t of totc dwellingsduellinga in urbanwith and Labovarioccocicac io -roscytrie. o prbe ar. not nop ambl,.a Rura.ldu llinaclconcted to eleacricits Laborforce inag ricalatre y C-tmPntedcc chosefor rural (2t - Agricultural lahbor force (to farming, forestry, dwelldine huncg and fishing) ae percentage of total labar force only. iacoeloved (2 oflabor force) - liamploynd are uOcally defined ec par oa who Conomcat cre abl cd w il lie to e ab a J ab, ot of c J ob am a give a d ey, re te d ot dAll typ of a Job, and ceeking-vrb for a specified Of receiver a f er radio bro dcasta m0,1m parted eat exceediog of e to general Public par thouscod ofPopulatio; nc,hluden w e b, mY o b omp ar cble h we countrie a d ue to diff r m tc nliceed reeicer of u-cPloped and eancee of datc, e.g., etplo,yneot office ctatistics,defi ottionacople a in cou-trie a nd to y c rarwhen regi cr c ti onof rdi o set. w e c eurvyc, compulcory date for recen.t Yearc my not he cetparahla eiace act countriec aholishedeffect; eMepleymeo teermcc. lice fing.
eDictrihactamof isnd nPereoiage Of Private finela (both to caeh cadhind) Pee% received by richeat 5t, richect 20%, Poorest 20%, and P-Oeret 40% of thon eighr onprecuetecce, herac en milita honan- vehiclec Pros.ecd.mbl_ ,h.".ad l,r Distrib r:hi:r..Prc.otag..ti- If la : = Elzpbric edLpivat ecocricty in kilowatt hewn Par cePitc, generally Diecibuiamof- Percocgeeofcedownrche cedocod b wachicc 5%based onprodoctiam dctc, ithot aloacor lo-see in grid hot allow- dog f ar lp r uotc en d e x po r t s afe lec tr ic i ty . AL1th *nd Nu.trition Neepriot (bk/cr car c ,cc - Per capita annal cona-ption in kilogr_ Populatiam erehycician - Pepulation divided by phycicicoc uaber of practicing ce prductim pI qualified freta medical school at university level. Page 3 of 4 pages
ECONOMIC INDICATORS- COMOROS
GROSS NATIONALPRODUCT IN 1975 A1lNUALRATE OF GROWTH (X,constant prices)
US$ Mln. % 1970-75 1975
GDP at Market Prices 70.1 100.0 1.8 -12.7 Gross Domestic Investment 16.6 23.7 -2.5 -42.2 Cross DomesticSaving 0.6 0.1 -11.5 -75.9 Balainceof Trade 17.3 24.7 Exports of Goods, NFS 10.5 15.0 2.0 -2.3 Imports of Goods, NFS 27.8 39.7 6.1 -12.1
OUTPUT, LABOR FORCE AND PRODU.CTIVITY IN 1975
Value added Labor Force_ V. A. per Worker US$ Mln. % Thous. % US $
Agricultulre 26.7 38.1 150 87 178 44 Industry 14.8 21.1 5 3 2,960 725 Services 28.6 40.8 17 10 1,682 412 Unallocated Total/Average . . . . .__ 70.1 100.0 172 100.0 408 100.0
GOVERNrIzT FINANCE
Central Government US$ Mln. % of GDP 1975 1975 1973-75
Current Receipts 8.0 11.4 11.3 Current Expenditure 11.5 16.4 16.2 Current Surplus -3.5 -5.0 -4.9 Capital Expenditures 2.8 4.0 4.0 ExternalAssistance (net) 1.9 2.7 2.7
MONEY, CREDIT and PRICES 1972 1973 1974 1975 1976 (MillionCF outstandingend period)
Money and Quasi Money 1653 2100 2423 2023 2108 Bank credit to Public Sector - - - -361 -549 Bank Credit to Private Sector 1470 1375 2687 2118 1119
(percentages or Index Numbers) Money and Quasi Money as % of GDP 16.5 18.9 14.4 13.5 General Price Index (1975 , 100) 63.4 66.9 87.9 100.0 Annual percentagechanges in: General Price Index .. 5.5 31.4 13.8 Bank credit to Public Sector (net) - - - -52.1 Bank credit to Private Sector .. -6.5 95.4 -21.2 -47.2
NOTE: All conversionsto dollars in this table are at the average exchange rate prevailingduring the period covered.
1/ Total labor force; unemployedare allocatedto sector of their normal occupation. "Unallocated" consistsmainly of unemployedworkers seeking their first job.
not available not applicable February 21, 1978 Page 4 of 4 pages
TRADE PAYMENTSAND CAPITAL FLOWS
BALANCE OF PAYMENTS MERCHANDISE EXPORTS (AVERAGE 1973-1975)
1973 1974 1975 1976 US $ Hln %
(Million US $) Perfume essences 3.0 38.5 Exports of Goods, NFS 5.0 8.9 9.5 9.3 Vanilla 1.9 24.4 Imports of Goods, NFS 15.1 25.8 23.2 12.5 Copra 1.2 15.4 Resource Gap (deficit < -) -10.1 -16.9 -13.7 -3.2 Cloves 1.4 17.9
Interesc Payments (net) Workers' Remittances Other Factor Payments (net) Net Transfers All other commodities 0.3 3.8 Balance on Current Account ...... Total 7.8 100.0
Direct Foreign Investment EXTERNAL DEBT, DECEMBER 31, 1976 Net MLT Borrowing Disbursements 0.4 0.6 0.2 13.9 US $ 141n Amortization .. .. Subtotal Public Debt, incl. guaranteed 17.4 Capital Grants 22.1 24.3 28.1 2.2 Non-Guaranteed Private Debt Other Capital (net) Total outstanding & Disbursed Other items n.i.e. Incroase in Reserves (+) DEBT SERVICE RATIO FOR 197 1/
Gross Reserves (end year) _ Net Reserves (end year) Public Debt, incl. guaranteed Non-Guaranteed Private Debt Total outstanding & Disbursed Fuel and Related Materials Imports oa which: Petroleum 0.6 1.5 1.8 Exoorts of whlich: Petroleum IBRD/IDA LENDING, (latest month) (Million US $):
RAIE OF EXCHANGE 1973 1974 1975 1976
US$1.00 , CF 222.7 240.5 214.32 238.98 Outstanding & Disbursed IBRD IDA CF 1 _ US$ 0.0045 0.0042 0.0047 0.0042 Undisbursed Outstanding incl. Undisbursed
1/ Ratio of Debt Service to Exports of Goods and Non-Factor Services.
not available not applicable
February 21, 1978 ANNEX II
STATUS OF BANK GROUP OPERATIONS
IN COMOROS
AND
PROJECTS IN EXECUTION
Not applicable.
This is the first Bank Group operation in Comoros. ANNEX III
COMOROS
SUPPLEMENTARY PROJECT DATA SHEET
Section I: Timetable of Key Events
(a) Time taken to prepare project: one year
(b) Preparation Government, IDA and consultants
(c) Initial discussions with IDA and March 1977 preparation
(d) Appraisal mission October 1977
(e) Negotiations May 1978
(f) Planned date of effectiveness January 1979
Section II: Special Implementation Actions
An advance under IDA's Project Preparation Facility of up to US$80,000 was approved in December 1977 to advance project commencement.
The proposed project will be subject to close supervision during project implementation.
A Memorandum of Understanding with the OPEC Special Fund will be executed, to provide for administration by IDA of the Opec Special Fund loan.
Section III: Special Conditions of the Project
(i) The Government shall submit a proposed annual road work pro- gram to the Association for review and approval, not later than three months before the beginning of each year's program (para. 35(c));
(ii) Fulfillment of all conditions precedent to disbursement of OPEC Special Fund loan is a condition of effectiveness of the proposed credit (para. 34);
(iii) The Government shall re-establish its Road Fund to ensure, following project completion, adequate financing of its road maintenance program from domestic resources (para. 36); and
(iv) Retroactive financing for urgently needed repairs costing about US$140,000 is recommended (para. 37). IBRD 12893
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