Friday, December 14, 2007

International Development: World Bank approves $12 million grant for Kosovo

The World Bank’s Board of Executive Directors approved today $12 million in support for Kosovo through two new education and finance sector projects, which will support the Bank’s ongoing support strategy for Kosovo.

The Interim Strategy for Kosovo for Fiscal Year 2008 covers the period from July 1, 2007 to June 30, 2008, and is the latest update of the Bank’s program of support, which dates back to 1999. The strategy, which was also discussed by the Board today, was prepared in partnership with the Provisional Institutions of Self Government and the United Nations Interim Administration Mission in Kosovo.

The strategy will be financed by an IDA grant allocation of US$12 million for the Institutional Development for Education Project, and the Financial Sector Technical Assistance Project.

The Institutional Development for Education Project, financed by a US$10 million IDA grant, will support the government in its implementation of the Strategy for the Development of Pre-University Education in Kosovo as well as its Strategy for the Development of Higher Education. It will help to strengthen the organization and financing of the education system in Kosovo; build institutions and management capacities to promote quality improvements in primary and secondary education; create conditions to introduce efficient and appropriate designs, and reduce multiple shifts in Kosovo’s schools; and strengthen the management capacity at system and institutional levels for higher education.

The Financial Sector Technical Assistance Project, financed by a US$2 million IDA grant, will contribute towards greater financial sector stability and development by supporting stronger prudential regulation and supervision by the Central Banking Authority of Kosovo (CBAK) for bank and non-bank financial institutions; the institutional strengthening of CBAK; and the strengthening of the banking and microfinance industry through capacity building.

Since 1999, 25 grants for a commitment of $119 million have been provided by the World Bank. In addition, the Bank has played a lead role, together with the European Commission, in donor coordination and the provision of policy advice and analytical support.

Source: World Bank. Press Release 2008/151/ECA