TC Winston

Government signs US$100m loan agreement with ADB and World Bank

The Fijian Government today signed two loans amounting to US$100 million (FJD$207m) with the Asian Development Bank (ADB) and the World Bank. The provisions of the agreement outline both the World Bank and ADB allocating US$50million each to cater for short-term financing of disaster recovery reconstruction programs, including school rehabilitation and housing assistance. For, ADB the […]

Allison Penjueli, Salote Qalubau

July 18, 2016 1:58 pm

The Fijian Government today signed two loans amounting to US$100 million (FJD$207m) with the Asian Development Bank (ADB) and the World Bank.

Asian Development Bank(ADB) Regional Director for the Pacific Sub regional office Pacific Department Robert Jauncey (Second from left),Attorney-General and Minister for Economy Aiyaz Sayed-Khaiyum and World Bank representative Mona Sur after the signing of the loans agreement today. (Salote Qalubau/Newswire)
Asian Development Bank (ADB) Regional Director for the Pacific Sub-regional office Pacific Department Robert Jauncey (Second from left), Attorney-General and Minister for Economy Aiyaz Sayed-Khaiyum and World Bank representative Mona Sur after the signing of the loan agreements today. (Salote Qalubau/Newswire)

The provisions of the agreement outline both the World Bank and ADB allocating US$50million each to cater for short-term financing of disaster recovery reconstruction programs, including school rehabilitation and housing assistance.

For, ADB the loan will have a 20-year term, including a grace period of 5-year and a low-interest rate of about 1.3% per year.

Asian Development Bank(ADB) Regional Director for the Pacific Sub regional office Pacific Department Robert Jauncey (Second from left),World Bank representative Mona Sur and Attorney-General and Minister for Economy Aiyaz Sayed-Khaiyum during the signing of the loans agreement today. (Salote Qalubau/Newswire)
Asian Development Bank(ADB) Regional Director for the Pacific Sub-regional office Pacific Department Robert Jauncey (Second from left), World Bank representative Mona Sur and Attorney-General and Minister for Economy Aiyaz Sayed-Khaiyum during the signing of the loan agreements today. (Salote Qalubau/Newswire)

Attorney-General and Minister for Economy  Aiyaz -Sayed-Khaiyum said the agreement would allow the Fijian Government to draw upon the facilities in the new financial year.

SAYED-KHAIYUM: “The World Bank and the ADB has provided to us a facility of fifty million each towards the reconstruction efforts. The Government of Fiji appreciates the ADB loan, which will allow us to be more responsive and build back damaged schools and homes better and stronger.”

World Bank representative Mona Sur said their partnership had been strengthened immensely.

SUR: “It is a pleasure to be here to support Fiji and it’s people in the reconstruction after cyclone Winston and supporting Government in building back ‘Better and Stronger’.”

The loan was approved by the World Bank’s Board of Executive Directors on June 30th in Washington D.C.

A total of 130,000 homes were damaged or destroyed, affecting approximately 15 percent of Fiji’s total population.

The Asian Development Bank Regional Director Robert Jauncey made similar comments.

JAUNCEY: “ADB is very pleased to work with the World Bank in order to support the Government efforts in the reconstruction efforts. We will continue to support the some of the government lead efforts such as Help for Homes the Prime Minister launched and the schools reconstruction program so we’re very keen to support Government and their efforts.”

The total damage and losses resulting from Cyclone Winston are estimated at US$1.38 billion, including US$959 million in damage and losses to Fiji’s productive, social and infrastructure sectors.

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