Contacts Bishkek: Jyldyz Djakypova, +996 312 610 650 jdjakypova@worldbank.org Washington: Michael Andrew Jones, +001 202 473 2588 mjones2@worldbank.org WASHINGTON, March 19, 2008 – The World Bank’s Board of Directors yesterday approved an IDA grant in the amount of US $12 million for the Bishkek and Osh Urban Infrastructure Project (BOUIP). The new project will increase the availability of basic infrastructure in semi-informal settlements (so-called “novostroiki”) of the capital city Bishkek and Osh, the economic center of Southern Kyrgyzstan. Presently, Bishkek has about 50 “novostroiki” settlements with a population of, depending on the estimates, between 125,000 and 200,000 or up to one-fifth of the city’s total population. Osh has eight with a total population of possibly in excess of 50,000. “The main objective of the new Project is to increase access to basic urban infrastructure to such communities, and thus reduce poverty and improve the living conditions of people in these settlements” – said Task Team Leader Jonathan Kamkwalala. Bishkek, which in 1991 had about only 600,000 residents, has now, according to conservative estimates, a population of at least one million, but possibly more. Osh, whose population was about 240,000 a few years ago, now counts about 500,000 residents, if peripheral settlements are included. Together the two cities account for close to one-third of the Kyrgyz Republic’s total population. The two cities have become surrounded by a ring of “novostroiki” settlements whose inhabitants are generally poor, lack basic infrastructure, and have limited access to social, educational and other services. “The Bishkek and Osh Urban Infrastructure Project will be the first World Bank operation in the Kyrgyz Republic to address issues of urban poverty. For this Project, the Bank will allocate USD 12 million as a grant” – said Country Manager Roger J. Robinson. The Project will mainly finance rehabilitation of elements of basic infrastructure identified by the Bishkek and Osh Municipalities in close consultation with the population and its representatives of selected ‘novostroiki’ areas. Works to be financed will include urban roads, water supply network and service installations, drainage networks, etc. located within and outside the ‘novostroiki’. The Project will also finance small-scale investments in neighborhood infrastructure and equipment, to be identified and implemented with the active involvement of communities or groups of residents of ‘novostroiki’ areas, as well as technical assistance and other forms of institutional support to the Bishkek and Osh Municipalities. The Bishkek and Osh Urban Infrastructure Project is expected to be implemented over four years, starting in mid-2008. Implementation of the Project will be a joint effort of the Municipalities of Bishkek and Osh, and the Community Development and Investment Agency (ARIS). -###- The World Bank is one of the largest sources of development assistance to the Kyrgyz Republic. The Kyrgyz Republic borrows from the World Bank on highly concessional terms – no interest, and only a 0.75% service charge. Credits are repayable in 40 years, including a 10-year grace period, while grants require no repayment. From 2003 to mid-2005, half of the World Bank’s assistance to the Kyrgyz Republic was in grant form. Since July 2005, the Bank had provided all funding to the Kyrgyz Republic on a grant basis. For more information on the World Bank activities in Kyrgyz Republic visit: www.worldbank.org.kg |
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