– Finance Minister welcomes loan approval
MINISTER of Finance, Dr. Ashni Singh, yesterday welcomed the announcement of approval by the Inter-American Development Bank of a US$20 million financing facility to support Government’s planned expansion of the East Bank Demerara road to a four-lane highway.

In an invited comment to this newspaper last night, Minister Singh stated that the East Bank highway is a major artery in Guyana’s transport network, linking the capital city to the airport, and is used by tens of thousands of Guyanese commuters everyday.

“Government is convinced that the time has come for this road to be widened to a full four-lane highway,”  the Minister said, in the interest of ensuring free flow of traffic and safer and more efficient road use.

Minister Singh also stated that the IDB has been a longstanding and responsive partner in Guyana’s development efforts, and the latest approval by the Bank is most welcome by Government.

The approval comes on the heels of several months of work by staff of the Ministries of Finance and Public Works and of the IDB in preparing the project, and Minister Singh expressed the hope that execution of the project would commence as soon as possible.

The IDB, in a statement released last night, said Guyana will double the capacity of a section of one of its principal highways and facilitate safer access for pedestrians at that section with a US$20 million loan it has approved.

“The funds will finance a programme that seeks to enhance urban and suburban mobility and safety, lower transport costs and reduced accident rates along the East Bank Demerara Main Road up to Diamond,” the IDB stated.

In recent years, the number of vehicles using Guyana’s roads has increased steadily.

This increase, combined with the construction of new residential developments on the outskirts of Georgetown, has contributed to congestion along the East Bank Demerara main road. The congestion, along with a lack of road safety features, has also led to frequent traffic accidents.

The project, according to the IDB, aims to improve these conditions by expanding the East Bank Demerara main road between Providence and Diamond from two to four lanes, and by providing parking lanes, bus stops, crossings for pedestrians, and bicycle lanes that will increase safety and reduce disruption to traffic flow.

These investments are expected to improve conditions for driving and access for vehicles and pedestrians along one of the busiest stretches of the main road network.

“Within five years, the project is expected to yield a 15 percent reduction in travel time by car on the improved road section, as well as a 5 km extension of the road network that is in good condition,” the IDB stated.

It is also anticipated that the project will result in a 10 percent reduction in the rate of crashes and resulting deaths, and a 10 percent reduction in travel time of passengers that use public transportation in the project area.

The IDB loan consists of US$10 million from the Bank’s Ordinary Capital with a 30-year term, a six-year grace period and interest rate based on LIBOR; and US$10 million from the Fund for Special Operations with a 40-year term, a 40-year grace period, and a 0.25 percent interest rate.
(Mark Ramotar)