HIGHWAYS II

closed

This report appraises a project for the construction of the Boudouaou-Lakhdaria section (40 km) of the main national road linking Algiers to the eastern part of the country and for consulting services and staff training at an estimated total cost of US$101.6 million equivalent. The Bank loan for the project will be US$41.5 million, which represents the foreign exchange cost. The development of the road network has not kept pace with the rapid growth of road transport in recent years. Heavy traffic volumes on roads with inadequate design standards have resulted in high road transport costs, unacceptable levels of traffic congestion and a heavy accident toll. The Government is aware of the need for adequate roads if growth of the total economy is not to be impeded. It intends to raise road investments, realizing that shortages of qualified and experienced staff will have to be remedied and that organizational improvements may have to be made to ensure the proper execution of an expanding investment program.