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The Splendour of Iran
Payvand's Iran News ...

11/26/02
World Bank grants US dlrs 400,000 to Iran

Tehran, Nov 25, IRNA -- Managing Director of Housing Ministry's Urban Development and Rehabilitation Department Manouchehr Khajeh-Delouei said here on Monday that the World Bank has granted US dlrs 400,000 for environment reservation and infrastructural development.

He said the fund will be used in mitigating the phenomenon of suburban population in the cities of Zahedan, Bandar Abbas, and Kermanshah.

He also said the bank plans to distribute dlrs 50 million up to dlrs 80 million for implementing the above-mentioned projects over a four-year period beginning in the second half of the next Iranian year (starting March 21).

"In addition, if the prerequisites are met, the credit will be extended to 30 other cities," Khajeh-Delouei underlined.

He added that on the average, 20 percent of the population metropolises live in the suburbs of large cities. In southern port of Bandar Abbas, 30 percent of the population, live in the suburbs and it is estimated that Tehran's suburban population will increase to 25 million by 2021-2022.

He further compared socio-economic indices in the suburban areas with those of cities. Birth and death rates, in the suburbs of large cities are four-times higher and double compared to the inner cities, respectively, the official remarked.

Also, the suburbs have much higher cases of people afflicted with contagious diseases and higher number of high school dropout rate than the cities, he said.

In October, Minister of Economy and Finance Tahmasb Mazaheri said that Iran, commensurate with its share in the World Bank, has to benefit from low-cost and long-term credit in implementing large or infrastructural projects.

Speaking at his monthly meeting with reporters, he added that in addition to World Bank loans, Iran has to take advantage of the body's affiliated companies including the International Finance Cooperation (IFC) which provides facilities to the private sector. Negotiations in this respect have already begun, he added.

Iran could use another affiliated World Bank cooperation MIGA (Multilateral Investments Guarantee Agency) which guarantees investments of member countries in each other.

"This enable us to absorb capital at lower rates and guarantee Iranian investments in other countries," Mazaheri underlined.

He added that the government has approved Iran's membership in MIGA and has tabled the bill in the Majlis.

World Bank loans stipulate for the countries to incorporate its guidelines into their policies and use their natural advantage in more efficient use of the loan.



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