Japan to provide Rs9.34bn assistance

NAVEED BUTT

ISLAMABAD: Japan would provide Rs 9.34 billion assistance including Rs 702.34 million share of Sindh government for Rural Road Construction Project-II (Sindh).

For this purpose, Sindh government has submitted PC-I (Revised) of “Japanese Assisted Rural Roads Construction (Length 500kms) Project-II (Sindh) to the Planning Commission of Pakistan for approval.

According to documents available with Business Recorder, the Japanese Assisted Rural Roads Construction Project (RRCP-II) amounting to Rs 9.34 billion including foreign assistance portion of Rs 8.63 billion (92.50 percent) and Rs 702.34 million (7.50 percent) as share of government of Sindh.

The road would be constructed to improve the links of eight districts of Sindh province namely Hyderabad, Thatta, Dadu, Khairpur, Larkana, Sukkur, Shikarpur and Jacobabad.

The main purpose of the project is to support rural transformation and agriculture development, reduce transport cost in the project areas to facilities efficient movement of goods and passengers, enhance the mobility of rural communities including better access to health and strengthen the domestic capabilities for designing and constructing and maintaining tertiary road network.  The existing rural roads and form to market road links are not sufficient. It has also been established that only 16 percent of the villages are situated on all weather roads and about 20 percent have an all weather connection to the markets and the remaining villages are totally cut off from the road connection.

According to documents, in continuation of efforts of Donor Agency (JBIC) and Government of Pakistan, a NOC was issued for construction of RRCP-II (Sindh). The sponsoring authority has conveyed that scope/length of the Project-II for Sindh Province would be 500 kms roads in eight (8) districts of the Province which shall be strictly followed in accordance with the guidelines of Special Assistance for Project Implementation (SAPI) study.

Due to the recent enormous floods in 2010 and upon request of JICA in the Bi-annual meeting held in Economic Affairs Division (EAD) Islamabad in August 2010, the Works and Services Department will provide the 265kms alternate roads to complete the 500 kms.

The revision of PC1 is prepared taking into account the massive increase in Consumer Price Index associated with basic costs of road construction.