Before the crisis in early 2009, most of the major infrastructure works scheduled to be financed by the project were completed (periodic maintenance of National Road #RN- 7; works to make the port of Mahajanga compliant with minimum international safety requirements; railways infrastructure rehabilitation on the Northern Railway Network), and the project was performing satisfactorily. With the disbursement suspension, the implementation of on-going contracts (works on RN2, port of Toliary, railways infrastructure, and studies for bridges rehabilitation) was suspended, and arrears incurred after the crisis were blocked. Since the project#s disbursement resumption in May, 2011, all pending arrears were cleared.
The project#s funds are almost used up, with a disbursement rate of 97%. However, the Borrower wishes to continue to use the remaining funds by the Project#s closing date, on June 30, 2011. Therefore, at the end of September 2011, they submitted a request to restructure the project. However, since clarifications are necessary regarding the resumption of suspended contracts, the Bank requested further details. Likewise, pending issues (the settlement of disagreement on RN2 through a mutually satisfactory agreement, and the restructuring of the Northern railways concession) need to be fixed. The project#s restructuring request which should be finalized by the end of November, 2011.
World Bank.Author:Rabefaniraka,Noroarisoa.Document Date:2011/11/27.Document Type:Implementation Status and Results Report.Report Number:ISR5108
