19 Aug 2005

Asian Development Bank project in Marshalls hits hurdle

3:31 pm on 19 August 2005

An Asian Development Bank loan project in the Marshall Islands that's already nearly three years behind schedule has hit another roadblock.

The ADB has sent a team to Majuro in an attempt to resolve the latest problem that threatens to derail the loan.

The Marshall Islands and ADB agreed to an approximately 10 million dollar loan in 2002 for docks, causeways, warehouses, navigation aids, beach channels and runway improvements on nearly 20 of the remote outer islands.

But a recently completed engineering plan for the project has designed the work to cost about 24 million dollars.

Source say the the problem is the Australian company hired to do the engineering design work for the infrastructure projects, wasn't required to design the projects within the 10 million dollar limit of the loan.