Grenada is among four OECS countries that have been allocated a sum of three hundred and fifty million US dollars, equivalent to nine hundred and forty-five million EC dollars under the new IDA 19 funding cycle by the World Bank.
Minister for Climate Resilience, the Environment, Forestry and Disaster Management, Hon. Simon Steill addressing the financing at Tuesday’s Post Cabinet Briefing said the allocation of “substantial resources” would cover 2020-2023.
Senator Steill who accompanied Prime Minister Keith Mitchell to the recently concluded World Bank meeting in Miami to discuss IDA 19 noted that the resources are provided to eligible countries for their development.
Grenada has just received its final disbursement of twenty million US dollars from the seventy–four million window following the conclusion of the IDA 18 funding cycle.
He continued that the monies are highly concessional loans to support the development of programs. The interest is somewhere in the region of .75% with a ten-year grace period on repayments and a repayment period of forty years.
The discussions on how those resources will be allocated came on the heels of the conclusion of the IDA 18 disbursements, which covered the period 2018 through 2020 through which Grenada received seventy-four million US dollars.
The funds will be used to support budget and developmental priorities the minister said, whether it is in the areas of agriculture, healthcare, education, youth and infrastructure development, tourism among others. The resources will be used to support the government’s programs to the end of this year.
Minister Steill further added that the entire IDA 18 funding was based around some of the government’s key priority areas, which were put in place like energy reforms, resilience-building from fiscal, physical and social on the back of the Structural Adjustments Program
He outlined that some of the first implementation of the strategic resources initiated within IDA 18 were a blue growth development policy loan that he indicated helped Grenada support the ban on single-use plastic, and addressing marine pollution, which enabled the administration to put a very progressive integrated coastal zone management policy and legislation in place that was presented in parliament at the end of last year. It takes a far more strategic approach to the management of coastal resources.
The other three OECS countries that will benefit under the IDA 19 new funding cycle are Dominica, St. Vincent & the Grenadines and St. Lucia.