The Liberian Senate has unanimously voted to pass into law the pre-financing agreement for the pavement of 24.5km of existing secondary roads from Klay to DC Clarke in Bomi County and 51km of selected neighborhood/community roads in Monrovia and its environs.
The decision by the Senate was based on a report submitted by its Committee on Foreign Affairs and Public Works with the mandate to act on a bill submitted to the Legislature by President Ellen Johnson Sirleaf for enactment in June.
In the financing agreement, the East International Group Incorporated, which won the National Competitive Bidding, agreed to procure on behalf of the Liberian government "for the purpose of implementing the project, an external loan in an amount not to (exceed) US$59,567,019.09 on the terms and conditions set forth or referred to in the agreement."
According to the agreement, the repayment of the financing amount disbursed in the amount of US$19,905,537.39 for the 24.5km Klay to DC Clarke road pavement "shall commence and be paid in seven equal amounts, over a period of seven calendar years, which shall begin within twelve calendar months of the first disbursement of the financing, based upon the project milestone disbursements received by the contractors."
Similarly, the same aforementioned repayment conditions apply for the financing disbursement of US$39,661,473.51 for the pavement of 51km of selected neighborhood/community roads in Monrovia and its environs.
In their report, the committees noted that "this agreement is in line with the development agenda of Liberia; and as concluded in the hearing, stakeholders maintained that if the agreement is passed into law, the road pavement project will enhance development, improve livelihood, healthcare, education, commercial activities, alleviates poverty and so forth.
"In view of the conformity of the proposed agreement between the Government of Liberia and East International Group Inc to the overall developmental agenda of the country to improve existing road networks in various communities and give access to health, educational, economic and other crucial facilities, and in respect of the collaboration between the company and Qingjian International in Liberia Development Company Ltd (CNQC) to provide additional financial and technical support to the company to successfully implement the project, the Joint Committee hereby recommends to the plenary of the Liberian Senate to approve the ratification of the proposed Pre-financing Agreement, as attached."