AFRICAN DEVELOPMENT FUND

THE GAMBIA

TRANS-GAMBIA CORRIDOR PREPARATORY STUDIES: PHASE II -

KEUR–ALI/FARAFENNI-SENOBA SECTIO

OITC/GECL DEPARTMENT

October 2014

TABLE of CONTENTS

Contents

1. STRATEGIC THRUST & RATIONALE ...................................................................... 1 1.1. Project linkages with country strategy and objectives .................................................... 1 1.2. Rationale for Bank’s involvement ................................................................................... 1 1.3. Donor coordination .......................................................................................................... 2

2. PROJECT DESCRIPTION ............................................................................................. 3

2.1. Development Objectives ................................................................................................. 3 2.2 Project components ......................................................................................................... 4 2.3 Technical solution retained and other alternatives explored ........................................... 4 2.4 Project type ...................................................................................................................... 4 2.5 Project cost and financing arrangements ......................................................................... 4

2.6 Project’s target area and population ................................................................................ 6 2.7 Participatory process for project identification, design and implementation .................. 6

2.8 Bank Group experience, lessons reflected in project design ........................................... 6 2.9 Key performance indicators ............................................................................................ 7

3. PROJECT FEASIBILITY ............................................................................................... 7 3.1. Economic performance .................................................................................................... 7

3.2. Environmental and Social impacts .................................................................................. 7 Climate Change ........................................................................................................................... 7 Gender, Social and Involuntary Resettlement ............................................................................. 7

4. IMPLEMENTATION ..................................................................................................... 7 4.1. Implementation arrangements ......................................................................................... 7 4.2. Monitoring ....................................................................................................................... 8

4.3. Governance ...................................................................................................................... 9

4.4. Sustainability ................................................................................................................... 9 4.5. Risk management ............................................................................................................ 9 4.6. Knowledge building ...................................................................................................... 10

5. LEGAL INSTRUMENTS AND AUTHORITY ........................................................... 10 5.1. Legal instrument ............................................................................................................ 10

5.2. Conditions associated with Bank’s intervention ........................................................... 10 5.3. Compliance with Bank Policies .................................................................................... 10

6. RECOMMENDATION ................................................................................................. 10

Appendix I Country’s comparative socio-economic indicators

Appendix II: Table of ADB’s portfolio in the country Appendix III: Key related projects financed by the Bank and other development partners in

the country Appendix IV: Map of the Project Area

i

Currency Equivalents

As of September 2014

UA = 1.13212 EURO

UA = 61.88068 GMD

EURO = 54.65912GMD

Fiscal Year Gambia: July 1- June 30

Weights and Measures 1metric tonne = 2204 pounds (lbs)

1 kilogramme (kg) = 2.200 lbs

1 metre (m) = 3.28 feet (ft)

1 millimetre (mm) = 0.03937 inch (“)

1 kilometre (km) = 0.62 mile

1 hectare (ha) = 2.471 acres

Acronyms and Abbreviations

ADB African Development Bank

ADF African Development Fund

AIDS Acquired Immune Deficiency Syndrome

CCPTF Technical and Financial Partners’ Consultative Committee

ECOWAS Economic Community of West African States

EDF European Development Fund

ESIA Environmental and Social Impact Assessment

ESMP Environmental and Social Management Plan

EU The Commission of European Union

EUR Euro

FE Foreign Exchange

FS Feasibility Study

GDP Gross Domestic Product

GoTG Government of The Gambia

ICB International Competitive Bidding

IDB Islamic Development Bank

JAS Joint Assistance Strategy

LCS Least Cost Selection method

LTS Long Term Strategy

NRA National Road Authority

PAGE Programme for Growth and Accelerated Development

PBA Performance Based Country Allocations

PCN Project Concept Note

QCBS Quality and Cost Based Selection

RISP Regional Integration Strategy Paper

RO Regional Envelope

ToR Terms of Reference

UA Unit of Account

ii

Loan Information

Client’s information

RECIPIENT: REPUBLIC OF THE GAMBIA

EXECUTING AGENCY: NATIONAL ROAD AUTHORITY

Financing plan

Source Amount UA Million

Instrument PBA Total

ADF 1.00 1.00 Grant

TOTAL COST 1.00

ADB’s key financing information

The Gambia Grant currency UA 1 million

Timeframe - Main Milestones (expected)

Concept Note approval

May, 2014

Project approval October, 2014

Effectiveness December, 2014

Last Disbursement December, 2016

Completion May, 2016

iii

Project Summary

Project Overview

The Trans-Gambian Road Corridor, spanning a distance of about 243km across Senegal and

The Gambia, is a vital economic and strategic link connecting the northern and southern parts

of the two countries. About 26% (62km) of the corridor is in good to fair condition and the

African Development Bank (AfDB) is actively supporting the development of the remaining

sections under the following principal interventions: (i) the construction of a bridge at

Yalitenda in The Gambia and two (2) one stop border posts between The Gambia and

Senegal; (ii) rehabilitation of the section between Dinguiraye and Keur Ayib (44km); and

(iii) subsequent Bank support programmed for 2016 that will include the rehabilitation of the

sections between Senoba – Ziguinchor (137km) in Senegal and strengthening of the Keur-Ali

– Senoba, 24km (Trans-Gambian Highway) in The Gambia whose preparatory studies are the

subject of this Project Appraisal Report.

AfDB’s support for the studies is outlined in the Joint Assistance Strategy for The Gambia

(JAS 2012-2015) through the strategic pillar “Enhancing Productive Capacity and

Accelerating Growth and Competitiveness”, which is aligned to The Gambia’s Programme

for Growth and Accelerated Development (PAGE), 2012-2015) Pillar II (improving and

modernizing infrastructure).

This project will undertake studies aimed at proposing pavement strengthening options for

the 24 km section of the Trans-Gambia Corridor between Keur Ali and Senoba. The studies

will also focus on proposing the best institutional model for managing the tolling of the

Trans-Gambia bridge under the current project. The total project cost is UA 1.00 million to

be financed from the country’s Performance Based Country Allocations (PBA). The project

will be executed over a period of two years (2014 – 2016).

Needs Assessment

The output of this project will provide necessary information for financing the second phase

of the Trans-Gambia Corridor Project in The Gambia. The studies will identify physical

project rehabilitation improvement options arising from the anticipated increased traffic after

completion of the Trans-Gambia Bridge. The outputs will also propose the best institutional

model for tolling the bridge to ensure its sustainability.

Bank’s Added Value

The proposed project will ensure the Bank’s continued involvement and support for the

transport sector in The Gambia. The Bank is committed to further development of the

corridor as demonstrated through these preparatory studies for Phase II.

Knowledge Management

The project is an essential upstream activity that is meant to not only inform the Bank on

establishing immediate future targeted transport investments in the Country but also

complements Bank’s current efforts in developing the Trans-Gambia Corridor into a fully

developed transport logistics chain. The study will contribute knowledge in providing

solutions for bridge tolling management models within the context of the country’s

limitations of such initiatives

iv

RESULTS BASED LOGIC FRAMEWORK

Country and project name: Trans-Gambia Corridor Project: Phase II Preparatory Studies

Purpose of the project: undertake feasibility and detailed design studies and propose an institutional model for tolling the Trans-Gambia Bridge

RESULTS CHAIN PERFORMANCE INDICATORS MEANS OF

VERIFICATION

RISKS/MITIGATION

MEASURES Indicator (including CSI) Baseline Target

IMP

AC

T Contribute to economic growth through

development of transport infrastructure

1.1 Value of government

transport investment

contributions per year

UA 1 million

By 2016

UA 1.2 million

Government budget reports

OU

TC

OM

ES

Increased GoTG’s ability to make

timely decisions based on the road

improvement and bridge tolling

institutional model

1.1 Progress on improvement

and institutional models

development

None

1.1 Improvement and

institutional models

developed by 2015

Study reports

Quality of Study Output:

As mitigation, the quality of

ToR for the study will be

carefully reviewed by Bank

project technical team. Also

outputs at all stages will be

extensively reviewed to

ensure that project objectives

are achieved

OU

TP

UT

S

Component 1: Studies

1.1 Feasibility and detailed studies and

bridge institutional model

1.2 Road safety audit

Component 2: Project Management

2.1 Financial audits

1.1 Study report

1.2 Safety audit report

2.1 Financial audits

1.1 No report

1.2 No safety audit

2.1 No audit

By 2016

1.1 Study report submitted

and approved

1.2 Road safety report

submitted and approved

2.1 Submitted financial

audit performed

Study reports

Procurement Delays:

As mitigation, advance

procurement has already been

requested

Study Coordination: NRA

will appoint dedicated Project

Coordinator. Bank

supervision and monitoring of

project scheduling activities.

KE

Y A

CT

IVIT

IES

COMPONENTS INPUTS

1. Studies 1.1 Feasibility and detailed design and bridge institutional model; and

1.2 Road Safety Audit

2. Project Management

2.1 Financial Audits

UA million

1. Studies 0.89

2. Project Management 0.02

Base Cost 0.91

Plus Contingencies 0.09

Total 1.00

Financing Sources

ADF = UA 1.00 million

Total Project Cost = UA 1.00 million

PROJECT TIME FRAME

v

1

REPORT AND RECOMMENDATION OF THE MANAGEMENT TO THE BOARD OF

DIRECTORS ON A PROPOSED GRANT TO THE GAMBIA

Management submits the following Report and Recommendation on a proposed Grant of UA 1

million to the Republic of The Gambia.

1. STRATEGIC THRUST & RATIONALE

1.1. Project linkages with country strategy and objectives

1.1.1 Country Perspective: The Gambia’s economy, mostly dependant on tourism and agriculture,

has been strong averaging 5% for the past five years. It’s dependency on these principal economic

thrusters has however also made the country vulnerable and this has had mixed impact on overall

poverty reduction. Not surprisingly, development in the country remains highly distorted and more

than half the country remains illiterate and poor, coupled with one of the highest infant mortality

rates in West Africa.

1.1.2 As part of its development agenda, The Gambia has placed development of transport

infrastructure as a principal catalyst to economic development and poverty reduction. With a road

density of 34.7 km/100km2 (measure of connectivity within a country), The Gambia’s situation is

comparable to that of some other Sub-Saharan African countries though it is still below the African

average of 50km/100km2. But there remains a big challenge in terms of required infrastructure

quality due to neglect of maintenance which has affected level of service with at least 82.50% (2009)

of the network in poor condition, resulting in high levels of vehicle operating costs. Transportation

costs thus have continued to be a significant barrier to trade and have generally raised the cost of

doing business

1.1.3 It is within this context that the country has placed improving and maintaining the road

network as a top priority and embarked on a number of high profile transport projects including that

of Trans-Gambia Corridor Project that the Bank is currently supporting under two phases. Phase I is

currently on-going while Phase II, the subject of this Project Appraisal Report (PAR) , outlines these

preparatory activities.

1.1.4 The Government of The Gambia’s support for the project is firmly anchored in its renewed

commitment to poverty reduction through the vision 2020, whose overarching objective is the

“transformation of The Gambia into a middle-income country by the end of the first quarter of the

next (21st) century”. The vision includes outlines of broad policies on development of infrastructure,

including transport, as a catalyst to economic growth. The Gambia’s Programme for Growth and

Accelerated Development (PAGE), 2012-2015, further recognises that “improving and modernizing

transport infrastructure will contribute immensely to economic growth and employment generation in

the country”.

1.1.5 The AfDB/WB Joint Assistance Strategy for The Gambia (JAS 2012-2015) includes

“Enhancing Productive Capacity and Accelerating Growth and Competitiveness” as a strategic pillar

and is thus aligned to the PAGE (2012-2015) Pillar II (improving and modernizing infrastructure).

The financing for these studies are included under “ancillary studies to the Trans-Gambia Bridge” in

the Joint Assistance Strategy (2012-2015). The development of the bridge is within the framework of

the National Transport Policy that seeks to promote development of viable economic infrastructure.

1.2. Rationale for the Bank’s involvement

1.2.1 The Trans-Gambia Corridor (Kaolack-Dinguiraye-Keur-Ayib/Ferafenni-Senoba-Ziguinchor),

which is part of the Trans-West African Highway and spans a distance of about 243km across

2

Senegal and The Gambia, is an important economic and strategic link connecting the northern and

southern parts of The Gambia and Senegal, serving both intrastate and interstate traffic. Transit on

the corridor is however hampered by the lack of a reliable connection at Yalitenda in The Gambia,

currently serviced by a ferry across The Gambia River and poor road conditions in Senegal between

Dinguiraye - Keur Ayib (44km) and between Senoba – Ziguinchor (137km). The sections between

Kaolack to Dinguiraye (38km) and Keur-Ali/Farafenni – Senoba, 24km (Trans-Gambian Highway)

are presently in good condition.

1.2.2 Bank participation in the development of the Trans-Gambia Corridor project has been

programmed under two interventions. The first intervention includes two projects approved by the

Bank board between 2011/12 and 2014, namely: (i) construction of the bridge at Yalitenda in the

Gambia and two (2) one stop border posts in the Gambia and Senegal; and (ii) rehabilitation of the

section between Dinguiraye - Keur Ayib (44km).

1.2.3 The second intervention planned for 2016 will include rehabilitation of the Senoba -

Ziguinchor(137km) section and road pavement strengthening of 24 km of Keur-Ali /Farafenni –

Senoba in The Gambia. Though this latter section has recently received maintenance under the

European Development Fund (EDF) financing, the anticipated increased traffic after bridge

construction will strain its current loading capacity and necessitate strengthening. Studies for Senoba

- Ziguinchor are completed while there are no studies for Keur-Ali /Farafenni – Senoba. This Project

Appraisal thus aims to finance preparatory studies for the Keur-Ali /Farafenni – Senoba road section.

Realisation of these studies will inform government on the best road improvement options.

1.2.4 These various interventions highlighted above will complete physical development of the

entire Trans-Gambia Corridor serve for soft transport facilitation measures that will still need to be

addressed through other project interventions.

1.2.5 After the Trans-Gambia bridge construction, the Government of The Gambia (GoTG)

anticipates implementation of a cost recovery scheme through tolling that will guarantee sustainable

financing of maintenance. However, institutional mechanisms are neither in place nor being

developed. The study will in addition therefore assess and propose a toll management model that will

facilitate effective management of the bridge to ensure sustainable maintenance.

1.2.6 The Project is consistent with Pillar No.1 of Infrastructure Development in the Bank’s Long

Term Strategy (2013-2022). The Bank’s involvement in the first interventions makes its participation

in the second inevitable to ensure that the road targeted for strengthening is able to withstand

increased traffic after completion of the bridge. The studies are an essential pre-requisite to similar

projects that the Bank is involved and as such, the Bank will leverage its wealth of experience and

leadership on the project. The project is also particularly expected to contribute knowledge in

providing solutions for optimum bridge tolling management models within the context of the

country’s limitations in such initiatives.

1.2.7 As demonstrated above, Bank support for this project is premised on continued support and

development to functionality of the entire Trans-Gambia Corridor as a complete transport logistics

chain that responds to the growing transportation needs and demands of not only the Gambia and

Senegal but the entire ECOWAS community.

1.3 Donor coordination Several development partners actively participate in the Transport

Sector. These include the European Union, Kuwait Fund, the OPEC Fund (OFID), Saudi Fund,

BADEA, Islamic Development Bank (IDB) and the World Bank. The European Union was the lead

partner under the 9th European Development Fund (EDF) and provided financing for rehabilitation

and upgrading of approximately 260 km of trunk roads. As part of EDF X programming, EU is

considering committing an additional €10 million towards programmes in feeder roads and axle load

3

control, development of a network wide maintenance strategy and rendering of technical assistance.

Assistance is however contingent upon improvement in performance of various government

commitments that have been identified since 2012. IDB, OPEC and BADEA, have also previously

funded major road rehabilitation works on the North Bank and currently with the Kuwait Fund and

Saudi Fund are financing other major road works at the south bank of The Gambia. The donors

have also more recently made additional pledges to finance construction of the remaining unpaved

section (126km) of primary road network in the north.

1.3.2 There is no formal Transport Sector donor coordination in The Gambia, although the Middle

Eastern Donors (OPEC, BADEA, Kuwait Fund and Saudi Fund) have continued with informal adhoc

meetings for coordination of their road sector activities. The GoTG has set up the Management and

Aid Coordination directorate in the Ministry of Finance and Economic Affairs to compile data on

project management and aid coordination. As a strategy for institutionalising Transport Sector Donor

Coordination, the GoTG shall be advised by the Bank to assign the responsibility of Transport Sector

Donor Coordination to the Management and Aid coordination Directorate in the Ministry of Finance

and Economic Affairs. On the Bank side, previous efforts to harmonise and align strategies with the

World Bank have led to two successful preparations of Joint Assistance Strategies i.e. JAS 2008-

2011 and more recently JAS 2012-2015.

Table 1.1 Donor Coordination

Sector or subsector Size

GDP Exports Labor Force

Road Transport – The Gambia*

Players - Public Annual Expenditure (average)

GOTG a Donors

UA 1.8 million (3%) UA 60.6 million (97%)

EU 21.9%

ISDB 13.4%

BADEA 27.6%

Saudi Fund 9.60%

Kuwait Fund 27.5%

AfDB 0.1%

Level of Donor Coordination Existence of Thematic Working Groups: Yes Existence of SWAPs or Integrated Sector Approaches: No ADF's Involvement in donor coordination***: No

*** L: leader, M: member but not leader, none:

no involvement

‘a’ - five years average

2. PROJECT DESCRIPTION

2.1. Development Objectives

2.1.1 The overall development objective of the project is to support economic growth of the

countries on the Trans-Gambia Corridor and ECOWAS at large by fostering integration through

reliable, efficient and seamless transport infrastructure in the region.

2.1.2 The objective of the study is to identify physical project rehabilitation improvement options

on the section of the Trans-Gambia road corridor in The Gambia, arising from the anticipated

increased traffic after completion of bridge construction, analyze technical and economic viability,

assess the environmental and social impact and prepare detailed engineering and tender documents.

The study will also assess and propose the best institutional model for tolling the bridge, as a

sustainability maintenance measure.

4

2.2 Project components

A summary of the project components are presented in table 2.1 below:

Table 2.1: Project Components

No. Component Name

Estimated

Base Cost

(Million UA)

Component Description

1 Studies

1.1 Feasibility and Detailed

Studies and Bridge

Institutional Model

0.79 Road feasibility and detailed design studies aimed at proposing

pavement strengthening options for the 24 km section of the

Trans-Gambia Corridor between Keur Ali and Senoba. The

studies will principally take into consideration the anticipated

traffic increase that will arise from increased demand on the

bridge.

The studies will also focus on proposing the best institutional

model for managing the tolling of the Trans-Gambia Bridge.

This is in consideration that although the Government intends to

toll the bridge, no measures are proposed for managing the toll

bridge, either internally through the National Roads Authority or

externally through management contracts. One of the tasks to be

included in the Tolling Terms of Reference (ToR) is to define the

regulatory and institutional framework for the Toll Bridge.

1.2 Road Safety Audit 0.10 This will focus on an independent road safety assessment for

Keur Ali to Senoba (including the bridge) aimed at providing

specific road safety features. The audits will be undertaken at all

stages of study i.e. feasibility, draft and detailed design level.

2 Project Management

2.1

Financial Audit 0.02 An audit by external independent auditors to express an opinion

on the financial statements provided to the Bank and provide

reasonable assurance that the funds have been applied for the

intended purposes with due attention to economy and efficiency

2.3 Technical solution retained and other alternatives explored

The proposed study will provide GoTG with information to make decisions required for

improvement of the 24km section of the Trans-Gambia Corridor as well as adequate information to

implement a preferable bridge management model.

2.4 Project type

The project is designed as a stand-alone operation. The investments against which the funds

are to be disbursed are definite and specific. As such, the project approach is the most appropriate

arrangement for the Bank’s intervention in this operation.

2.5 Project cost and financing arrangements

2.5.1. Project cost estimates are based on similar studies undertaken in The Gambia as well as

international norms and average unit prices for consultancy services.

5

Table 2.2: Project cost estimates by component

No Components

UA (millions)

% FE Currency

Foreign Local Total

1. Studies

1.1 Feasibility, Detailed Design & Bridge Institutional Model 0.63 0.16 0.79 80

1.2 Road Safety Audit 0.07 0.03 0.10 70

Sub-Total 0.70 0.19 0.89

2 Project Management

2.1 Financial Audit 0.02 0.02

Sub-Total 0.02 0.02

Base Cost 0.70 0.21 0.91

Price Contingency 0.07 0.02 0.09

Project Cost 0.77 0.23 1.00

2.5.2. The estimated total cost of components (net of taxes) as summarised in Table 2.2 above is

UA 1.00 million (EUR 1.12 million) of which the foreign exchange cost is UA 0.77 million (EUR

0.86 million) or 77% of the total, and the local cost is UA 0.23 million (EUR 0.26 million) or 23% of

the total.

2.5.3. The proposed project will be financed by ADF through the country’s PBA. Government has

confirmed contribution of PBA towards this project. In view of budgetary constraints, government

requested that it be exempt from the entire Counterpart Funding (CF) requirements of 10% stressing

that CF requirements for capital projects have continued to put pressure on the national budget.

2.5.4. In line with the Policy on Expenditure Eligible for Bank Group Financing and The Gambia’s

Country Financing Parameters, ADF can finance components up to 100% as outlined in the

justification attached in Annex A.

Table 2.3: Sources of financing

Source of Financing UA millions %

FE Foreign Exchange Local Currency Total

ADF Grant 0.77 0.23 1.00 77

Total Project Cost 0.77 0.23 1.00 77

2.5.5. The project cost by category of expenditure and schedule by component are presented in

tables 2.4 and 2.5.

Table 2.4: Project cost by category of expenditure per country (UA millions)

Components

Euro (millions) UA (millions)

Foreign

Exchange

Local

Currency Total

Foreign

Exchange

Local

Currency Total

1 Consultancy

1.1 Feasibility, Detailed Design &

Bridge Institutional Model 0.70 0.18 0.88 0.63 0.16 0.79

1.2 Road Safety Audit 0.08 0.03 0.11 0.07 0.03 0.10

1.3 Financial Audit

0.03 0.03

0.02 0.20

Sub-Total 0.78 0.24 1.02 0.70 0.21 0.91

Base Cost 0.78 0.24 1.02 0.70 0.21 0.91

Price Contingency 0.08 0.02 0.10 0.07 0.02 0.09

Project Cost 0.86 0.26 1.12 0.77 0.23 1.00

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Table 2.5: Expenditure schedule by component

No Components UA millions

2014/15 2015/16 2016/17 Total

1 Studies 0.18 0.71 0.89

2 Project Management 0.01 0.01 0.02

Total Base Cost 0.18 0.72 0.01 0.91

Price Contingency 0.02 0.07 0.09

Total 0.20 0.79 0.01 1.00

2.6 Project’s target area and population

The study will encompass the population along the 24 km section of the Trans-Gambia

Corridor between Keur-Ali/Farafenni - Senoba. The study will accurately confirm the affected

population, though recent reports1 have estimated the Project Influence Zone (PIZ) catchment area of

about 1 million. The PIZ is predominantly rural with high agricultural production though poverty

rates appear high at around 60%. Lack of transport services and infrastructure has been cited as one

of the factors contributing to high incidence of poverty. The study will thus also look at inclusion of

key high impact socio-economic hard and soft infrastructures initiatives that emboldens the project’s

inclusiveness in addressing the high poverty level.

2.7 Participatory process for project identification, design and implementation

Given its regional and strategic importance, the study Consultant is expected to consult

widely with different government administrative and technical authorities as well as with the

population in the project area. The opinion and concerns of the population will be collected through

organised focus groups or through any such methodology as the consultant shall propose and

approved by the Executing Agency (EA).

2.8 Bank Group experience, lessons reflected in project design

2.8.1. With the exception of the more recently approved financing for the Trans-Gambia Bridge in

late 2011 amounting to UA 66.73 million, the Bank’s intervention in the Transport sector in the

Gambia has been limited. The last major Transport Sector operations financed by the Bank were

prior to 1996 and these included: (i) an ADF loan of UA 14.51 million which was approved in 1989

for the Rehabilitation of North Bank Roads and Banjul Streets; (ii) a grant of UA 2.76 million was

approved in 1991 for Institutional Support to the Ministry of Works and Communication and studies

for the Essau – Farafenni Road; and (iii) the development of Banjul Port was approved in 1993 with

an ADF loan of UA16 million. With the exception of the current project which is on-going, the

above operations were successfully completed and had positive outcomes and impacts on The

Gambia’s economy. In general the projects contributed to lowering vehicle operating costs and

improved transport accessibility.

2.8.2. The Bank’s current Country Portfolio Performance Review (CPPR) Report has identified

some challenges that should be considered on future project design, namely: (i) non-availability of

preliminary and feasibility studies of projects; and (ii) lack of capacity building of agencies and

structures notably at departmental level, which are responsible for the implementing of Bank

operations in the Gambia. Some lessons arising from previous operations aimed at improving current

project design are included under Phase I of the ongoing Trans-Gambia Corridor Project and are

expected to positively impact the current project. These include support to the Executing Agency

(NRA) through: (i) provision of logistics in the form of office equipment and vehicles and; (ii)

provision of long term Technical Assistance in project, planning, procurement and contract

1 Trans-Gambia Corridor Project Appraisal Report

7

management. Adoption of relevant loan conditions is a major lesson particularly included under this

project

2.9. Key performance indicators Key performance indicators have been discussed with the

governments and are shown in the Results Based Logic Framework (RBLF). The principal key

indicators include: (i) value of government transport investment contributions per year; (ii) an

outcome related indicator that measures progress on development of road improvement options and

bridge management institutional choice; and (iii) output indicators as shown in the RBLF. The

indicators will be measured during project implementation, specifically at: (i) Project inception

(baseline survey); (ii) mid-term; and (iii) final survey after completion of the study.

3. PROJECT FEASIBILITY

3.1. Economic performance

The project interventions do not require economic analysis at the appraisal stage. Economic

analysis will be undertaken by the study consultant that will be procured, for some of the project

outputs.

3.2. Environmental and Social impacts

Environmental impact

3.2.1. The project was validated and categorized at level 3 in June 2014. Therefore for the purpose

of presenting this project to the Board, there is no requirement for an Environmental and Social

Impact Assessment (ESIA). However all project related requirements for the ESIA are detailed in the

Terms of Reference in line with Bank requirements and particularly the recently approved Integrated

Safeguards System (ISS) that came into force in July 1, 2014. The Bank will provide the necessary

guidance to ensure that ESIA studies are conducted in line with Bank requirements and at the same

time fully address the requirements of the National Environmental Agency (NEA) of the Gambia.

Climate Change 3.2.2. In addressing climate change related issues, the study will be conducted in line with the

National Adaptation Programme of Action (NAPA) of The Gambia that identifies potential climate

risks. Risk such as increase in temperate and rainfall could lead to floods and affect the section of the

road particularly in mangrove areas. The study will identify project focus areas related to climate

change resilience that have to be addressed.

Gender, Social and Involuntary Resettlement

3.2.3. Gender, social and resettlement concerns will be considered and identified as guided through

elaborate Terms of Reference for the ESIA and Resettlement Action Plan (RAP) that will be carried

out during the studies.

4. IMPLEMENTATION

4.1. Implementation arrangements

Executing Agency

4.1.1. The project components will be executed by the National Roads Authority (NRA). The NRA

has experience in implementation of several donor funded projects (AfDB, EU, BADEA, OPEC and

Islamic Development Bank) and is familiar with the requirements of multi-lateral donor institutions.

The NRA is currently implementing the Bank financed construction of the bridge at Yalitenda and

the one stop border post between the Gambia and Senegal. NRA will appoint a Senior Engineer from

within the NRA to coordinate project activities. Long term technical assistance has been included

under Phase I to reinforce NRA technical capacity in various aspects of Project Management

including contract management, cost control and procurement. This support will be extended to this

project to ensure sound project management and guarantee timely delivery of outputs.

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Procurement Arrangements

4.1.2. All procurement of Consultancy Services will be with “Rules and Procedures for the Use of

Consultants”, using the relevant Bank’s Standard Bidding Documents.

4.1.3. NRA will be responsible for all procurement and will manage the process of obtaining the

necessary internal approvals in line with respective Public Procurement Laws and Regulations.

Procurement of Consultancy services for the proposed project would be carried out in accordance

with the Bank’s Rules and Procedures: ‘Rules and Procedures for the Use of Consultants’, dated May

2008 Edition, revised July 2012 or as may be revised, using the relevant Bank Standard Bidding

Documents, and the provisions stipulated in the Financing Agreement. The project will use the

Bank’s Standard Bidding Documents and the provisions stipulated in the Financing Agreement. The

services are packaged under three (3) lots as follows: (i) feasibility and detailed studies and bridge

institutional model; (ii) road safety audit; and (iii) project financial audits.

4.1.4. The Bank has approved advance contracting to facilitate procurement of the major

consultancy services i.e. feasibility studies, detailed design and bridge institutional model, to ensure

that the studies are carried out within the JAS period (2012 -2015).

Financial Management and Disbursement Arrangements

4.1.5. A review of the proposed FM arrangements for the project was carried out with the following

conclusions:

i) The Gambia National Roads Authority accounting department would handle financial management

for the project, in line with the arrangements for the first phase of the project.

ii) The FM capacity assessment concluded that the residual FM risk continues to be moderate, and

that NRA has adequate qualified staff to carry out the required FM work for the new phase. Navision

(the accounting system) is still in use and will be used to produce the required accounting

information and reports. The audit of the study will be conducted annually by a private firm of

auditors hired on terms of reference acceptable to the Bank.

As the project is expected to consist primarily of consultancy related contracts, direct payment

arrangements similar to those in place for Phase I will be used for disbursements. All disbursements

will follow the procedures outlined in the Bank’s Disbursement Handbook.

4.2. Monitoring 4.2.1. Project execution will be monitored both internally and externally. Internally the Executing

Agency will supervise the consultants through a Senior Engineer, appointed by the EA as the Project

Coordinator. NRA is expected to provide the Bank with quarterly progress reports that will detail

project implementation status. The Bank will provide external support through extensive review of

all study outputs to ensure that they are in line with Bank requirements as well as conduct periodic

field supervision missions. Table 4.1 provides a summary of the Bank’s key monitoring milestones.

Table 4.1 Implementation and Monitoring Timeframe

Timeframe Milestone Monitoring process Feedback loop

Q4 - 2014 Project Launching, Procurement

Arrangements,

Supervision Mission Progress Report

Q1/Q2 - 2015 Study in progress Supervision Mission Progress Report

Q2,Q4 - 2015 Study in progress Supervision Mission Progress Report

Q3,Q4- 2016 Substantial Completion Supervision Mission Project Completion Report

9

4.2.2. Additionally financial management and auditing aspects will be monitored through existing

accounting and reporting procedures. The EA will schedule preparation of the Project Completion

Report towards the end of the project.

4.3. Governance GoTG is committed to undertake the project using adequate safeguards on public

expenditure. As such the Gambia has continued to implement Public Expenditure Reforms (PEF)

aimed at improving governance systems such as tightening of fiscal policy through cash-budgeting

for monthly expenditure. As mitigation, the project provides for periodic financial audits to provide

feedback and early warning on the project’s implementation.

4.4. Sustainability 4.4.1. The sustainability of the project depends on the availability of resources to cover recurrent

maintenance costs, quality of works and conditions under which the road is to be used. A section of

the road near the bridge site is established on highly unstable mangrove soils which over the years

has proved costly to maintain. The study will thus evaluate economically sustainable engineering

solutions that will guarantee sustained performance of the road, particularly under expected heavy

loading.

4.4.2. The institutional study aims to propose a bridge management model that will ensure

sustainable maintenance of the bridge infrastructure. Under the current arrangement, tolls are

collected by the ferry operators (Gambia Ports Authority) on behalf of government as national

revenue under the authority of the Ministry of Transport, Works and Infrastructure. After the bridge

is constructed, the ferry services at the site will be discontinued and it is anticipated that tolling

mechanisms to be managed by NRA and or another entity as proposed by the study will be put in

place.

4.5. Risk management

The potential risks and outcome indicators are:

Outcome Risks

Quality of Study Output: The appointed Consultant may fail to provide the desired quality of a

useful report. As mitigation, the quality of ToR for the study will be carefully reviewed by Bank

project technical team and the outputs at all stages will be extensively reviewed to ensure that project

objectives are achieved.

Specifically, limited experience on tolling in the ECOWAS Region, could limit government and

public contribution on the study processed and subsequent acceptability of the study output. As a

mitigation measure, the Government will be advised to include resources at implementation for

wider public consultations and advocacy on tolling.

Output Risks

Procurement Delays: Delays in the procurement of Consultant could affect the study deliverables.

As mitigation, the Bank has approved advance procurement to ensure that the procurement process

commences along the processing schedule.

Study Coordination: Lack of proper coordination and efficient monitoring of the consultant. This

risk is mitigated through the NRA appointing dedicated Project Coordinator to manage daily project

activities. This will be included as a project condition prior to first disbursement. The Bank will also

ensure close monitoring of project scheduling activities International Competitive bidding.

10

4.6. Knowledge building

The project is an essential upstream activity that is meant to not only inform the Bank on

establishing immediate future targeted transport investments in the Country but also to complement

the Bank’s current efforts in developing the Trans-Gambia Corridor into a fully developed transport

logistics chain. The study will also contribute knowledge in providing solutions for bridge tolling

management models within the context of the country’s limitations of such initiatives

5. LEGAL INSTRUMENTS AND AUTHORITY

5.1. Legal instrument

The Bank instruments to finance this operation is an ADF Grant to The Gambia amounting to

UA 1.00 million. The standard ADF financing terms and conditions are applicable to the grant.

5.2. Conditions associated with Bank’s intervention

Conditions Precedent to the Entry into Force of the Grant Agreement

The Grant Agreement shall enter into force upon signature by the Republic of The Gambia and the

Fund.

Conditions Precedent to First Disbursement of the Grant

The obligation of the Fund to make the first disbursement of the Grant shall be conditional upon the

entry into force of the Grant Agreement and evidence by the Recipient to the satisfaction of the

Fund, that the following conditions have been fulfilled:

(i) Submission of the CV of the Project Coordinator to the Bank for no-objection.

5.3. Compliance with Bank Policies

(Yes) This project complies with all applicable Bank policies.

(None) The following exceptions to Bank policies are recommended for approval. The project

complies with all other applicable Bank policies

6. RECOMMENDATION

Management recommends that the Board of Directors approve the proposed grant of UA 1.00

million to the Government of the Republic of The Gambia subject to the conditions stipulated in this

report.

I

Appendix I Country’s comparative socio-economic indicators

Indicator Year Gambia AfricaDeveloping

Countries

Developed

CountriesCharts

Basic Indicators

Area ('000 Km²) 11.3 30,046.4 80,976.0 54,658.4

Total Population (millions) 2013 1.8 1,109.0 5,628.5 1,068.7

Urban Population (% of Total) 2013 58.4 40.2 44.8 77.7

Population Density (per Km²) 2012 157.2 35.4 66.6 23.1

GNI per Capita (US $) 2011 610.0 1,594.2 2,780.3 39,688.1

Labor Force Participation - Total (%) 2013 43.1 37.4 0.0 0.0

Labor Force Participation - Female (%) 2013 48.3 42.5 39.8 43.3

Gender -Related Development Index Value 2007 0.5 0.5 .. 0.9

Human Develop. Index (Rank among 169 countries) 2012 165.0 .. .. ..

Popul. Living Below $ 1 a Day (% of Population) 2003 33.6 .. 25.0 ..

Demographic Indicators

Population Growth Rate - Total (%) 2013 3.2 2.5 1.4 0.7

Population Growth Rate - Urban (%) 2013 4.1 3.4 2.4 1.0

Population < 15 years (%) 2013 45.9 40.9 29.2 17.7

Population >= 65 years (%) 2013 2.4 3.5 6.0 15.3

Dependency Ratio (%) 2013 82.7 77.3 52.8 ..

Sex Ratio (per 100 female) 2013 97.9 100.0 934.9 948.3

Female Population 15-49 years (% of total population) 2013 23.8 24.0 53.3 47.2

Life Expectancy at Birth - Total (years) 2013 58.8 59.2 65.7 79.8

Life Expectancy at Birth - Female (years) 2013 60.2 60.3 68.9 82.7

Crude Birth Rate (per 1,000) 2013 42.7 35.3 21.5 12.0

Crude Death Rate (per 1,000) 2013 9.7 10.4 8.2 8.3

Infant Mortality Rate (per 1,000) 2013 54.9 61.9 53.1 5.8

Child Mortality Rate (per 1,000) 2013 99.5 97.4 51.4 6.3

Total Fertility Rate (per woman) 2013 5.8 4.6 2.7 1.8

Maternal Mortality Rate (per 100,000) 2010 360.0 415.3 440.0 10.0

Women Using Contraception (%) 2013 23.0 31.7 61.0 75.0

Health & Nutrition Indicators

Physicians (per 100,000 people) 2010 3.8 52.6 77.0 287.0

Nurses (per 100,000 people)* 2008 56.8 .. 98.0 782.0

Births attended by Trained Health Personnel (%) 2010 56.6 .. 39.0 99.3

Access to Safe Water (% of Population) 2011 89.3 67.8 84.0 99.6

Access to Health Services (% of Population) 2000 93.0 65.2 80.0 100.0

Access to Sanitation (% of Population) 2011 67.7 40.5 54.6 99.8

Percent. of Adults (aged 15-49) Living with HIV/AIDS 2011 1.5 4.7 161.9 14.1

Incidence of Tuberculosis (per 100,000) 2011 279.0 235.8 .. ..

Child Immunization Against Tuberculosis (%) 2011 90.0 81.2 89.0 99.0

Child Immunization Against Measles (%) 2011 91.0 76.3 76.0 92.6

Underweight Children (% of children under 5 years) 2006 15.8 .. 27.0 0.1

Daily Calorie Supply per Capita 2009 2,643.0 2,564.7 2,675.2 3,284.7

Public Expenditure on Health (as % of GDP) 2011 2.4 5.9 4.0 6.9

Education Indicators

Gross Enrolment Ratio (%) .. .. .. ..

Primary School - Total 2011 80.5 101.8 106.0 101.5

Primary School - Female 2011 81.9 97.8 104.6 101.2

Secondary School - Total 2010 54.1 45.4 62.3 100.3

Secondary School - Female 2010 52.6 41.9 60.7 100.0

Primary School Female Teaching Staff (% of Total) 2011 28.6 43.7 .. ..

Adult Literacy Rate - Total (%) 2011 51.1 .. 19.0 ..

Adult Literacy Rate - Male (%) 2011 41.9 .. .. ..

Adult Literacy Rate - Female (%) 2011 60.9 .. .. ..

Percentage of GDP Spent on Education 2011 3.9 5.3 .. 5.4

Environmental Indicators

Land Use (Arable Land as % of Total Land Area) 2011 44.5 8.4 9.9 11.6

Annual Rate of Deforestation (%) 2000 -1.0 0.6 0.4 -0.2

Annual Rate of Reforestation (%) .. .. .. ..

Per Capita CO2 Emissions (metric tons) 2011 0.2 1.1 .. ..

Last update: May 2014

Gambia

Comparative Socio-Economic Indicators

Sources : ADB Statistics Department Databases; World Bank: World Development Indicators

UNAIDS; UNSD; WHO, UNICEF, WRI, UNDP; Country Reports.

Note : n.a. : Not Applicable ; … : Data Not Available.

0200400600800

10001200140016001800

201

0

201

1

GNI per Capita (US $)

Gambia Africa

0

0.5

1

1.5

2

2.5

3

3.5

201

0

201

1

201

2

201

3

Population Growth Rate - Total (%)

Gambia Africa

0

10

20

30

40

50

60

70

80

90

100

201

0

201

1

Access to Safe Water (% of Population)

Gambia Africa

0

20

40

60

80

100

120

200

0

200

1

200

2

200

3

200

4

200

5

200

6

200

7

200

8

200

9

201

0

Secondary School - Total

Gambia Africa

II

Appendix II: Table of ADB’s portfolio in the country

A. National Operations

Sector / Operation

Approval

Date

Approved

Amount

Disbursed

Amount

Disb.

ratio

Closing

Date Age

(UA m) (UA m) (%)

(Yrs)

RURAL

● Livestock and horticulture development 26/12/08 4,02 3,74 93,02 31/12/14 4,8

● Sustainable land management 26/10/10 2,85 1,54 53,91 30/06/14 3,0

● Food & agriculture sector devpt project

(GAFSP) 15/05/13 17,26 0,58 3,37 30/06/19 0,4

Sub-Total 24,13 5,86 24,28

2,8

SOCIAL

● Entrepreneurship promotion and

microfinance 15/11/06 8,00 6,53 81,62 31/12/ 13 6,9

Sub-Total 8,00 6,53 81,62

6,9

WATER/SANITATION SECTOR

● Support for national water reform 7/04/10 1,76 0,80 45,26 31/12/14. 3,5

● Rural water supply and sanitation

Initiative 13/02/12 1,11 0,00 0,00 31/12/15. 1,7

13/02/12 3,55 0,57 16,12 31/12/15 1,7

Sub-Total 6,42 1,37 21,33

2,3

MULTI SECTOR

● ISP for economic and financial

governance 30/09/11 2,00 0,74 36,79 30/06/15 2,1

● Economic and financial governance

operation (EFIGO II) 24/0713 0,61 0,00 0,00 31/12/14 0,2

Sub-Total 2,61 0,74 28,19

1,2

TOTAL 41,16 14,49 35.2%

3,3

B. Regional Operations

Sector / Operation Approval

Date

Approved

Amount

Disbursed

Amount

Disb.

Ratio

Closing

Date

(UA m) (UA m) (%)

Status

Rural

● Regional Project on sustainable

management of endemic ruminant

livestock in West Africa (PROGEBE) 25/01/06 10,24 8,22 80,23 30/06/2014

NON PP /

NON PPP

Sub-Total 10,24 8,22 80,23

Infrastructures

● Trans-Gambia River crossing Project 16/12/11 63,55 0,03 0,05 30/06/2017 NON PPP

Sub-Total 63,55 0,03 0,05

Multi sector

● Payments systems development project

in WAMZ (Guinea, Gambia, Sierra Leone) 09/07/08 14,00 10,38 74,13 30/06/2014

NON PP /

NON PPP

● Supplementary Grant to WAMI for

Multi sector (Guinea, Gambia, Sierra

Leone) 09/11/10 5,00 0,98 19,60 30/06/2014

NON PP /

NON PPP

Sub-Total 19,00 11,36 59,78

TOTAL 92,79 19,60 21,13 NO PAR

III

Appendix III: Key related projects financed by the Bank and other development

partners in the country

Project Length Donor Euro,

million

Essau - Kerewan 51 Taiwan 7.61 Kerewan - Farafenni 52 IsDB 6.23 Farafenni - Laminkoto 115 OPEC and BADEA 16.61 Mandinaba - Soma 141 Kuwait Fund,

BADEA, OPEC

Fund, Saudi Fund

29.76

Soma – Basse - Sabi 192 EDF 22.00

Amdellai - Barra 20 EDF 6.10

Serrekunda - Mandinaba 28 ISDB, OPEC

Mandinaba - Selety 13 EDF 3.20

Trans Gambia 24 EDF 7.20

IV

Appendix IV: Map of the Project Area

Dinguiraye - Keur Ayib (44km)

(To be financed by BANK this

year)

Phase II (2016)

Senoba – Ziguinchor (137km)

Phase II (2016)

Project Road

(Trans-Gambia Highway)

Keur Ali - Senoba (24 km) Trans-Gambia Corridor

Dinguiraye - Keur Ayib (44km)

(Recently approved in May 2014

for Bank financing)

V

Annex A: Justification for Request of GoTG for Contribution of Less Than 10%

A.1 As indicated in the main text, this operation is proposing government financial contribution of

less than 10%. The policy on Eligible Expenditure for Bank Group Operations

(ADB/BD/WP/2007/106/Rev.1, paragraph 4.2.2) allows ADF to finance more than 90% to be justified by

the Task-team on the basis of the following three criteria: (i) Country Commitment to Implement its

overall Development Program; (ii) Financing Allocated to Sectors Targeted by Bank Assistance; and (iii)

Country Budget Situation and Debt Level.

A.2 Country Financing Parameters

An assessment of the Country Financing Parameters for expenditure eligibility by the World Bank

confirms The Gambia’s eligibility for Bank financing of project components up to 100%.

A.3 Country Commitment to Implement Its Overall Development Program

Gambia’s current overall development strategy is the Programme for Accelerated Growth and

Employment (PAGE, 2012-2015) seeks to accelerate economic growth and fight poverty through pro-

poor interventions. The government is fully committed to the PAGE which serves as a platform for

Gambia’s assistance from various development partners including the Bank.

A.4 Financing Allocated by the Country to Sectors Targeted By Bank Assistance

The Gambia’s Road Infrastructure Projects are mainly financed through Development Partners that

provide finance in the form of loans and grants. The Government has prioritized road infrastructure

development as demonstrated through the share of Overseas Development Assistance (ODA) that

accounted for the second largest share (18%) after Health and Social Welfare. The GoTG has also

demonstrated its commitment to mobilizing local resources by steadily increasing annual contributions to

the road fund from about Euro 0.29 million in 2007 to Euro 1.34 million in 2013. The cumulative

commitment of the Bank to transport amount to over 24% of total commitments since inception of Bank

operations in 1974.

Source: Ministry of Finance and Economic Affairs: 2013

A.4 Country Budget Situation and Debt Level

The current budget situation and debt levels are summarized in the table below. Among other things,

which indicates the country’s continued dependence on external financing of its budget. Overall debt

levels are however within International Monetary Fund (IMF) debt sustainability levels.

Debt Level

Public Debt (domestic and external) as a % GDP (2014) 85%

External Debt as % of GDP (2014) 46%

Agriculture 15%

Communication 2%

Education 7%

Energy (Electricity)

4%

Environment & Nat.

Res. 9%

Health & Social

Welfare 30%

Multisector /General

12%

Other 3% Transport

18%

Indicative Sectoral Distribution of ODA

VI

Annex B: Detailed Cost

Table B.1: Source of financing by components

No Components

Euro (millions) UA (millions) %

FE Currency

Foreign Local Total Foreign Local Total

1 Studies

1.1 Feasibility and Detailed Studies

and Bridge Institutional Model 0.70 0.18 0.88 0.63 0.16 0.79 80

1.2 Road Safety Audit 0.08 0.03 0.11 0.07 0.03 0.10 70

Sub-Total 0.78 0.21 0.99 0.70 0.19 0.89

2 Project Management

2.1 Financial Audit 0.03 0.03 0.02 0.02

Sub-Total

0.03 0.03 0.02 0.02

Base Cost 078 0.24 1.02 0.70 0.21 0.91

Price Contingency 0.08 0.02 0.10 0.07 0.02 0.09

Project Cost 0.86 0.26 1.12 0.77 0.23 1.00

Table B.2: Source of financing by category of expenditure

No Components

Euro (millions) UA (millions) Source

%

FE

Currency

Foreign

Exchange

Local

Currency Total

Foreign

Exchange

Local

Currency Total PBA

1 Consultancy

1.1 Feasibility and

Detailed Studies and

Bridge Institutional

Model

0.70 0.18 0.88 0.63 0.16 0.79 0.79 80

1.2 Road Safety Audit 0.08 0.03 0.11 0.07 0.03 0.10 0.10 70

1.3 Financial Audit

0.03 0.03

0.02 0.02 0.02

Sub-Total 0.78 0.24 1.02 0.70 0.21 0.91 0.91

Base Cost 0.78 0.22 1.02 0.70 0.20 0.91 0.91

Price Contingency 0.08 0.02 0.10 0.07 0.02 0.09 0.09

Project Cost 0.86 0.26 1.12 0.77 0.23 1.00 1.00