Guyana and India yesterday inked a US$50M loan agreement that could see commuters using a new road to traverse between the East Coast Demerara (ECD) and East Bank Demerara (EBD) by the end of 2018.
The road would bypass Georgetown which has suffered from increasing traffic congestion over the years. It will run between Ogle on the ECD to Diamond on the EBD. The road is expected to have four lanes with two of the lanes fully paved.
Last year January, it was announced that New Delhi would grant a Line of Credit (LoC) of US$50 million to Guyana for the East Bank Demerara-East Coast Road Link Project, as well as US$8 million to assist in the acquisition of an ocean ferry. The announcement was made during then President Donald Ramotar’s six-day official visit to India.
At the signing ceremony yesterday, Minister of Public Infrastructure David Patterson pointed out that the project was a long-awaited one and can positively impact different sectors. He emphasised the relief to users of the current EBD highway in having an alternative, as currently it is highly congested during rush hour.
“The idea of linking the East Bank with the East Coast, and further on, is in its initial step but has been around since the 70s and is something when completed, the government hopes will create several opportunities in the agricultural sector and business and other sectors. It also will, in my anticipation… offer us the opportunity to divert some of the traffic,” he said.
Patterson explained that the signing was only the first phase of the project and very soon the design and contracts and implementation processes will begin.
As part of the loan agreement, the contractor will come from India though Patterson said it opens the door for the creation of local jobs that would see services provided by locals in every sphere, from subcontractors for the building of the road, to labourers.
Signing on behalf of government was Finance Minister Winston Jordan who underscored the importance of bilateral cooperation between Guyana and India, which he said, predated independence. He said the two countries will continue to share close ties as India is one of the largest bilateral donors.
He pointed out that at a time when concessionary resources are dwindling globally, coupled with the fact that Guyana has extreme demands for accelerating its development, India has continued to be a reliable partner in development. Jordan expressed thanks to the Indian government for the confidence and commitment they have shown towards Guyana.
He echoed Patterson’s views that the road has the potential to not only connect the East Bank with the East Coast and eliminate traffic congestion, but will have a positive economic spinoff for the country as it opens for development.
“As you know roads are not just roads, they are not just concrete. Roads do many things, they open up new vistas…they can easily lend to building of new communities, arterial roads as a result. This particular step will open new lands even as it gives us another entrée to moving south…improving our road network and bring some relief to passengers that traverse the East Bank and East Coast roads,” Jordan said.
Resident Representative of the Export Import Bank of India, T.D Sivakura said his government was awaiting the Guyana Government’s acceptance of the money to have the project started.
“We have been waiting very long to have this MOU signed between the Government of Guyana and the Government of India and I am happy that we are here to sign. What is more important is the follow up that would continue after the signing of this MOU,” he said.
“Getting a consultant will be the first step, then starting the bidding process, signing the contract and finally execution of the contract. I can assure the honourable ministers that we would go out of the way to cooperate with the Government of Guyana in executing the project and I am sure that the project will start as soon as possible and we will be able to complete the project at the earliest possible (time),” he added.
