October 14, 2009No. 23/09 - BD NEWS RELEASE CDB TO PROVIDE POLICY-BASED LOAN TO GRENADA The Government of Grenada is to receive a policy-based loan equivalent to USD12.8 million from the Caribbean Development Bank (CDB). This loan will support the government's programme of macroeconomic reforms, which are intended to bolster the near to medium-term fiscal and economic outlook, and assist in improving the impact of the poverty-reduction efforts undertaken by the government. Disbursement will be based on agreed benchmarks in relation to these policy reforms. A comprehensive reform agenda has been articulated by the Grenada government aimed at, among other things, strengthening financial management in the public sector; consolidating and streamlining revenue streams; and improving the country's investment climate. CDB has a broader assistance strategy for Grenada, and this policy-based loan forms part of that strategy. The Bank's strategy places emphasis on support for improving the macroeconomic management; improving access to education; strengthening the social policy framework; enhancing access to infrastructure; and enhancing output growth in the agriculture sector.