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The World Bank
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Ukraine CO Web: / Contacts: AndriiGulay (380 44) 490 66 71/2/3
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USD 400 MILLION ROAD AND SAFETY IMPROVEMENT PROJECTLAUNCHED IN KYIV TODAY

KYIV, May 19, 2009 – The Government of Ukraine and the World Bank today officially launched the implementation of the UkraineRoads and Safety Improvement Project.The Loan Agreement for the USD $400 million project was signed on April 21.The objective of this first World Bank financed transport project in Ukraine is to improve the condition and quality of sections of the M-03 road and increase traffic safety along Ukraine’s main road network. It will be implemented by the State Road Administration of Ukraine, Ukravtodor.

“I am pleased that implementation of this important project is moving ahead swiftly.” says Martin Raiser, World Bank Country Director for Ukraine, Moldova and Belarus, “The investments in upgrading Ukraine’s road infrastructure will help lay the foundations for future growth and competitiveness. At the same time, they will create demand for local jobs and civil works, thus helping reduce the negative impact of the current crisis on people’s livelihoods.”

TheRoad and Safety Improvement Project is an integral part of The State Road Sector Reform Program for the next 3 years. This Program in particular focuses on improving the efficiency of road sector management and financing, including: (i) upgrade of the current road management system, (ii) expand the role of the private sector, and (iii) introduce international best practice contracting procedures and rules. In addition, the Project will make an important contribution to reducing fatal accidents at key black spots across Ukraine.

“The level of fatal road accidents in Ukraine exceeds the European average by three times.”, emphasizes Andreas Schliesser, Task Team Leader of the Road and Safety Improvement Project, “Through physical investments and an emphasis on public education, we hope to bring this number down and make road travel not only more comfortable and efficient but also a lot safer.”

During the Project launch workshop, implementation details will be reviewed and Ukrainian and World Bank experts will review the physical conditions of the M3 road on location. The aim is to start physical implementation before the end of 2009.

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