Lebanese Ministry of Information
Finance Minister Ali Hasan Khalil signed a $404 million deal with the World Bank Wednesday to fund projects in the education and transportation sectors. The funding will cover two projects, with $200 million for roads and employment and $204 million for the “Education for All Children” initiative. The deal was signed by the Finance Ministry, the World Bank and the Council for Development and Reconstruction at the ministry building in Downtown Beirut.
“This signature reflects the strong relationship between the World Bank and Lebanon, a partnership which works on solving the various challenges that Lebanon faces,” the minister said at a news conference before the signing. He highlighted that cooperation between Lebanon and the World Bank has always been strong. Lebanon has benefited from a wide array of projects funded by the World Bank related to all aspects of development.
The $200 million for road rehabilitation is broken down between $45.4 million in grants and a $154.6 million loan, repayable over a 31.5-year period. The grant portion will be allocated from the organization’s Concessional Financing Facility. It is the first time Lebanon has received money from the CFF, which was established to assist regular middle-income recipients of World Bank financing who are undergoing “unusual social and economic duress” a bank statement reported.
“These agreements only mark the beginning of future projects to raise the standard of education and improve transportation,” Khalil said, stressing that the projects benefit Lebanese nationals as well as Syrian refugees. “These agreements reflect the interest of the international community, with the help of the World Bank, to overcome Lebanon’s refugee crisis.” He expressed hope the relationship between Lebanon and the World Bank would remain strategic and continuous in order to upgrade various Lebanese sectors.
Hafez Ghanem, vice president of the World Bank for the Middle East and North Africa, said there is consensus in the World Bank that the organization should help Lebanon overcome problems linked to the refugee crisis. Ghanem said the project for improving transportation aims to rehabilitate 500 kilometers of Lebanese roads, adding that not only are the transportation and education sectors benefiting from these projects, but they will increase the job opportunities for both Lebanese and Syrian nationals.
“The World Bank has also been working with the Lebanese government on improving the infrastructure, with economic growth as their ultimate goal,” Ghanem said at the news conference, expressing pleasure in taking part in the signing of a deal that will empower Lebanon’s different sectors. Public Works and Transport Minister Youssef Fenianos and Education Minister Marwan Hamadeh also attended. World Bank Director for the Middle East Ferid Belhaj previously described Lebanon as a “priority” for the agency as he announced the proposed $200 million agreement for the road component signed Wednesday.
