Press Release

PRESIDENT OF SIERRA LEONE VISITS OFID
Al-Herbish pledges OFID’s ongoing support

36/2007 December 5, 2007 Vienna, Austria
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The Director-General of the OPEC Fund for International Development (OFID) Mr. Suleiman J. Al-Herbish, received the Sierra Leonean President, HE Ernest Bai Koroma yesterday evening at the institution’s Vienna Headquarters. Mr. Koroma was accompanied by a delegation that included several cabinet ministers and ranking officials.

In his welcome remarks, Mr. Al-Herbish sympathized with the President over Sierra Leone’s recent period of “trials and tribulations” and assured Mr. Koroma that OFID was “more than prepared” to do more for the country in light of its growing needs. The Director-General referred specifically to OFID’s 17th Lending Program that would be launched at the beginning of the new year, and would, along with other windows, significantly scale up the delivery of development assistance. Mr. Al-Herbish also discussed OFID’s new financing windows, including the Trade Finance Facility, and assured President Koroma that Sierra Leone, as well as other low-income African countries, stood to benefit from the new opportunities.

In his response, Mr. Koroma thanked OFID for its longstanding relationship with Sierra Leone, which dates back to 1976. The President gave a brief historical account of his country, describing the decade-long civil conflict that had “devastating consequences in terms of lost lives and destroyed infrastructure.”

One of the sectors worse affected, Mr. Koroma said, was energy. Continuing, he highlighted that the country’s electrical grid supplied less than 10 MW, although the present demand was between 200-250 MW. Unless this “massive shortfall” was addressed, Mr. Koroma emphasized, Sierra Leone’s socio-economic development would be seriously compromised. He expressed his gratitude to OFID for its earlier co-financing in support of several energy projects. President Koroma was informed by Mr. Al Herbish that, cumulatively, OFID has devoted 20% of its resource allocation to various projects in the energy sector of developing countries. An increase in this allocation is envisaged.

The President also had the opportunity to sign a US$12.51 million loan agreement to help finance upgrading of Sierra Leone’s Kenema – Pendembu Road. The road is part of an important corridor linking the capital Freetown with Koindi, a city that lies near the borders of Guinea and Liberia. Mr. Koroma also signed another agreement that will provide US$5.4 million in debt relief under the Heavily Indebted Poor Countries Initiative (HIPC).

This new financing, the President said, would go far in helping Sierra Leone achieve sustainable development and growth. In conclusion, Mr. Koroma expressed hope that OFID would continue offering its dedicated support to help his country “realize its fullest potential.”

In addition to the newly signed loans, OFID has extended co-financing to Sierra Leone to fund transportation projects and a program loan. OFID has also provided balance of payments support. The country has recently benefited from OFID’s joint initiative with the International Labor Organization to develop workplace policies and programs to prevent the spread of HIV/AIDS, as well as a technical assistance grant to enhance food security and safety.