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WORLD BANK SUPPORTS SOCIAL, ECONOMIC INFRASTRUCTURE IMPROVEMENTS IN ALBANIA

Contacts: In Tirana Ana Gjokutaj (355 42) 405 87/88/89
e-mail agjokutaj@worldbank.org
In Washington Miriam Van Dyck (1-202) 458-2931
e-mail mvandyck@worldbank.org

WASHINGTON, June 25, 2003--The World Bank’s Board of Executive Directors yesterday approved a $15 million credit to finance a Second Community Works Project for Albania. This project will support community micro-projects for improving access to quality social and economic infrastructure and social services, as well as promote institutional development at the local level.

This project will be implemented by the Albanian Development Fund (ADF), which has rich experience in working with local governments and communities through Bank-financed projects. Through the project ADF will support the implementation of the National Strategy for Socio-Economic Development (NSSED) as well as the national program for decentralization.

The project will be implemented country-wide over a period of 4½ years.

"This project will significantly contribute to Albania’s national strategy by improving access to social and economic infrastructure and social services, particularly in the rural areas, creating employment opportunities for the poor, as well as increasing community participation in decision-making,"said Mark C. Woodward, World Bank Task Team Leader for the Project.

The project has three main components:
The project will benefit the Albanian population by improving social and economic infrastructure in the rural and suburban areas. It is expected to increase access to basic social and economic services and improve the quality of those services.

The project will be cofinanced by the World Bank, the Albanian Government, the Italian Government and local communities. The credit will be payable in 20 years with a 10 years grace period.

Since Albania joined the World Bank in 1991, commitments total approximately US$683 million for 50 projects.

For more information about the World Bank’s work in Albania, visit
http://www.worldbank.org.al