Azerbaijan, Baku, Feb. 21 / Trend, I. Khalilova /
The World Bank (WB) will begin consultations on additional funding with the Azerbaijani government within the judicial system modernization in Azerbaijan. The WB mission headed by Amitabha Mukherjee will start his visit to Baku from Feb. 23, the WB Baku office told Trend today.
"The issue of delivering additional funding for the project will be resolved after the documents are prepared," the WB office said. "If necessary, the government will make a request to the bank."
WB manager for Azerbaijan Larisa Leshchenko said earlier that the amount of additional funding will be determined for the next two months, if the country's government confirms its intention in this regard.
In January, the first discussions were held to specify operations which may be included in the new project, as well as opportunities for drawing additional funds.
The new World Bank loan may be attracted within a separate project or in the form of additional funding for the ongoing project that has been in place since 2006 in order to accelerate the approval procedure. According to optimistic expectations, its assertion is expected by the end of June 2013.
The WB mission will be in the country until March 2.
The WB Board of Directors approved the first loan for the judicial system of Azerbaijan on June 29, 2006. Bank's share in $35.6 million worth five-year project amounted to $ 21.6 million. A grant worth $3 million was allocated by the Japan Special Fund, the share of the government of Azerbaijan totaled $ 11 million.
The WB loan is granted within the International Development Association on standard terms of 35 years with a grace period of 10 years and an interest rate of 0.75 percent per annum. After the 10-year grace period, repayments of 1.25 per cent will begin, and from 2026 to 2041, by 2.5 percent.
In 2011, the World Bank's Board of Directors approved additional funding for this project in the amount of $ 9.2 million from the IDA and $ 24.2 million loan from the International Bank for Reconstruction and Development (IBRD). The government's share in the project amounted to $28.3 million; the total amount of funding for the project is estimated at $61.7 million.
The project objective is the development of the capacity of the judicial system of Azerbaijan, improvement of its efficiency, as well as improvement of public access to information and services.