Report No. PIC515 Project Name Bangladesh-Second Rural Roads and ... Markets Improvement Project Region South Asia Sector Transportation Project ID BDPA9518 Implementing Agency Government of Bangladesh Ministry of Local Government, Rural Development & Cooperative Local Government Engineering Department (LGED) Dhaka, Bangladesh Contact: Chief Engineer, LGED Tel: 880-2-814804 & 326902 Fax: 880-2-813144 Date This PID Prepared May 3, 1995 Projected Board Date December 19, 1996 Project Objectives 1. The project objectives will be: (i) removing physical bottlenecks in rural transport and marketing in selected priority regions, through improvement of roads, river transport jetties, market structures; (ii) assisting in poverty alleviation through reduced transport costs, better marketing facilities, higher farm productivity, and increased farm and off-farm employment and income; (iii) promoting role of women in road works and rural transport activities; (iv) increasing participation of local communities and NGOs in project selection, implementation and monitoring and for strengthening mechanisms for sustainable maintenance of rural infrastructure; and (v) increasing institutional capacity at the national, regional and local level for rural infrastructure project planning, implementation, monitoring and maintenance. The project will build on experience and lessons learned from the ongoing RRMIMP-l, and will complement and reinforce its achievements. Project Description 2. The main geographical coverage of the project will be: (a) six Greater Dhaka districts (densely populated rural areas with high- yielding horticultural crops and acute infrastructure problems), which have not been covered in any other similar project; and, to a lesser extent, (b) eight NW districts which is the focus of the present ongoing project and where additional priority works remain to be covered. The total project area is spread over about ,000 sq.km, with a population of about 21 million.. Government has requested these priority areas to be included in the project, taking into consideration the needs of these districts, coordination with other agencies/projects covering other areas so as to avoid overlapping, and Government's expressed wish to get IDA's involvement in the high-priority, and highly-visible Greater Dhaka Districts in view of the success of the IDA's ongoing RRMP-I. 3. The Project would include: (a) improvement and upgrading of about 400 km of feeder roads Type B (also called +FRBs+, these are basically sub-regional roads connecting important +growth center+ markets in the rural areas) in six districts of central Bangladesh (Greater Dhaka District); (b) improvement and upgrading of about 130 km feeder roads Type B in eight districts of northwestern Bangladesh where the ongoing first project is focused; (c) rehabilitation/construction of priority river jetties to improve landing facilities for country boats in the project area (covering the 14 districts); (d) planning and improvement of rural market infrastructures (i.e., roads, walkways, drainage, potable water supply, sales platforms and sheds) in about 110 growth center markets in the project area; (e) construction of about 15,000 meters of drainage structures (culverts and small bridges on existing rural roads linking FRBs in the project area or elsewhere, with special emphasis on local participation, use of labor-intensive technology, and employment of poor landless workers and destitute women; (f) improving road maintenance systems in the project area, for replication nationally ; (g) pilot programs to improve the role of rickshaw-vans and country boats with participation of appropriate NGOs; and (h) assistance to management for project implementation and national rural infrastructure maintenance and management. The assistance to management would include: (i) consultancy services for design and supervision, monitoring and evaluation of annual programs for improvement and maintenance of rural infrastructure at the national level in LGED, and in the project area; (ii) construction equipment and vehicles; (iii) incremental administrative expenditures for project execution; (iv) training for LGED, Thana staff and contractors; and (v) technical assistance for improving rural transport, supporting local contractors and construction industry and long-term impact studies. Implementation 4. The LGED will implement this project. Suitable technical assistance, including essential incremental project staff to supervise the project, will be included in the project to assist LGED. Cost and Financing 5. The total cost of the Project is estimated at about US$155 million equivalent, with a foreign exchange component of about %. The Swiss Development Corporation (SDC) has tentatively agreed to cofinance about US$15 million equivalent, mainly for technical assistance. Govt. contribution (including local Govt. agencies) would be about US$30 million equivalent (at much higher rate than under the first project). IDA share (tentative) is expected at US$110m. Environmental Aspects 6. The Project would involve no new construction and have no significant physical risks or adverse ecological effects. It will have major positive impacts from reducing water-logging through the provision of drainage structures on rural roads; by planting trees alongside the project roads; and through the provision of adequate water supplies, sanitation and drainage facilities in the markets. - 2- The environmental category for the project is B. Processing Schedule 7. Project Pre-appraisal will take place during May-June 1995, and appraisal is expected around December 1995, with IDA Board presentation tentatively scheduled for July 1996. Contact Point Public Information Center The World Bank 1818 H Street, N.W. Washington, D.C. 20433 Telephone No: 202-458-5454 Fax No: 202-522-1500 Note: This document provides information on an evolving project. Certain components may not necessarily be included in the final project. -3-