In four departments
Millennium Challenge Account initiates into the process for the rural roads improvement

Tegucigalpa.- Representatives of 50 municipalities from the departments of Francisco Morazan, Valle, Choluteca, La Paz and El Paraíso, attended the first workshop of the Rural Roads Activity of the Millennium Challenge Account of Honduras.  The workshop counted with the presence of the Governors of El Paraíso and Francisco Morazan, Martha Leticia Osorio and Orbelina Navarro, respectively; the Road Fund Director, Ramiro Chacon; representative of the Rural Roads Consulting Committee, Iveth Rodríguez; and the representative of the Millennium Challenge Corporation (MCC), Carol Elwin.

The Program will be investing more than US$21 millions to improve rural roads at a national level, and to assist farmers to obtain a greater and better access to markets and social services, as well as to reduce their transportation costs.

MCA - Honduras will be holding other workshops in different regions at a national level, in order to disseminate the municipal co-financing criteria as well as the scope of the activity.
 
Municipal authorities must take into consideration that, according to the eligibility criteria approved by the Millennium Challenge Corporation, in order to qualify roads shall: (a) ensure a minimal economic rate of return of 12%; (b) provide,  through municipal funding –and either in-kind or in cash-  20% of the total cost of the improvement made to an eligible road; (c) roads shall be rural or municipal; (d) sections proposed must have a productive and economical potential, especially in relation to agribusiness; and (e) roads must comply with environmental and social criteria, in accordance with resettlement policies addressed to persons being  affected by road projects.

As part of the process to formulate the projects, MCA Honduras will assist the interested municipalities in the identification and prioritization of road sections that comply with the requirements established by the Compact.

The Rural Roads Consulting Committee (CCCR) integrated by SOPTRAVI, SAG, FHIS, AMHON, SERNA and MCC, will study the feasibility of each case and will approve the roads to be financed.


Authorities presiding the acts.

 


Part of attendees to the promotional workshop on how to access the funds of the Millennium Account.

 


 


2009. Millenium Challenge Account. Tegucigalpa, Honduras.

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