News

13th October

Published on
CDB Approves USD8.4 million for Electricity Power Project in St. Kitts and Nevis The Caribbean Development Bank (CDB) is providing financial assistance for a project designed to improve the operational capability, efficiency and system reliability of the Nevis Electricity Company (NEVLEC). Approval for a loan equivalent to USD8.4 million to NEVLEC was among the financing approved at a meeting of CDB's Board of Directors held at the Bank's Headquarters in Barbados, on October 12, 2006. This financing will enable NEVLEC to add to its generating capacity to meet the projected demand for electricity in Nevis over the next five years and refurbish its low voltage system.The project is also expected to improve administrative and operational effectiveness through the Construction of an operations complex to house all functional departments of the company, except for the generation department. In addition, a Tariff Study and a Loss Reduction Study will form part of the project.The Government of St. Kitts and Nevis will be guarantor for the loan, which is the second approved by CDB for NEVLEC. The Bank appraised its first project in Nevis in 2001. Other financing approved at the October 12th meeting of the CDB Board of Directors is as follows:USD8.2 million CDB Policy-Based Guarantee and Country Strategy Approved for St. Kitts and NevisCDB has been authorised by its Board of Directors to issue a policy-based guarantee in an amount up to USD8.2 million in support of a bond issue of up to EC150 million by the Government of St. Kitts and Nevis. Citicorp Merchant Bank Limited will be the arrangers for the bond issue.The guarantee is part of a broader CDB assistance strategy for St. Kitts and Nevis that seeks to improve the country's debt dynamics, enhance its public sector management systems to generate improved outcomes and foster fiscal sustainability, while protecting past social gains. This strategy, which is designed to guide CDB's assistance to St. Kitts and Nevis over the period 2006-2008, has been approved by the Bank's Board of Directors. The major objectives of the broader strategy are to support fiscal and debt sustainability, economic growth, social development and sustainable development. CDB's assistance will also seek to promote good governance and to foster inclusive social development. CDB to Assist Cave Hill School of Business with Expanding and Upgrading its FacilitiesCDB's Board of Directors has approved a loan equivalent to USD3.5 million to the University of the West Indies (UWI) for a project to assist with enhancing the teaching and learning environment at the Cave Hill School of Business Inc. (CHSB).The project will enable the Cave Hill School of Business to acquire land for Construction of new training and conference facilities, to carry out extensions and modernisations to the current facilities, acquire furniture and equipment and engage consultancy services. CHSB offers three academic programmes for students from Barbados and the territories of the Organisation of Eastern Caribbean States - the Executive Master of Business Administration, the Executive Diploma in Management and certificate programmes.The main objective of the project is to increase the opportunity for tertiary level education and executive management training in Barbados and the OECS through the expansion of the CHSB.The Government of Barbados is the guarantor for the CDB loan, which represents 80% of the project costs. UWI and CHSB will meet the other 20% of the project costs. CDB to provide Grant for developing Caribbean Building StandardsA Grant up to the equivalent of USD1.4 million to the CARICOM Regional Organisation for Standards and Quality (CROSQ) has been approved by CDB's Board of Directors to assist in financing the cost of developing new regional building standards.The ultimate benefits which will arise from this region code are greater uniformity in building design throughout the region as well as safer and more appropriate design standards which will contribute to a reduction in risk and attendant loss of life and property. Some of the key activities of this intervention include the preparation of hazard maps and vulnerability assessment studies for seismic and flood risks, drafting of special guidelines in respect of small buildings, training of regional professionals in the use of the Regional Building Standards, preparation of guidelines for the enforcement of these standards and the operation of a dedicated Project Executing Unit.CROSQ is an inter-governmental agency which was established in 2002 under the Industrial Protocol of the Revised Treaty of Chaguaramas.

Related News