§ Lord Kennet
asked Her Majesty's Government:
What controls are to be exercised by the International Bank for Reconstruction and Development over the 28 million dollars credit it has recently paid to Armenia to ensure that the funds in question will be used to restore areas affected by the 1988 earthquake in Armenia.
§ Baroness Chalker of Wallasey
Procurement under the Armenia earthquake reconstruction project will be in accordance with the World Bank's procurement guidelines. Standard bidding documents have been prepared for small contracts expected to be let under local competitive bidding. The borrower is required to supply contract award information to the bank promptly, and contracts above certain limits are subject to prior review by the bank. Project accounts are also subject to scrutiny by an independent auditor acceptable to the bank. A project implementation unit will provide quarterly progress reports. In addition there will be a special review before June 1994 to assess progress and there will be other supervision missions. Drawdown against the 28 million dollar loan is expected to be over78WA 2½ years to June 1996. The Government of Armenia will prepare a project completion report in line with standard bank procedures.