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Helping Islanders Access Public Services Through The Internet In Maldives

MANILA, PHILIPPINES (17 December 2001) - People living on the scattered atolls of the Maldives will be better able to access public services through the Internet under the Information Technology Development Project, for which the Asian Development Bank (ADB) today approved a US$9.5 million loan.

The project to link government agencies and provide information and services electronically to the public will improve the efficiency, transparency, and accountability of public sector management. The project will also establish the National Computer Center to coordinate ICT (information and communications technology) policies, standards, and practices for government work, and to build Internet kiosks in remote atolls. It will bring in sector reforms to bring down the costs of telecommunication access and services, which are relatively high.

A quarter of Maldives' 280,000 population is on the island capital of Malè, and the rest are spread among 200 islands. "Most people on the atolls would be hugely empowered if they could access public services through the Internet at the same affordable prices as on Malè," says ADB senior financial analyst Dong-Soo Pyo.

The project will link government ministries and related organizations in Malè as well as on 20 outer atolls. The networks will be extended to other islands in a phased manner in future. Public services available on the Internet will include the provision of applications for national citizen identification, public health services, and to register vessels, vehicles, and aircraft.

ADB will finance nearly 80 percent of the estimated total project cost of US$12 million, with the Government bearing the balance. The ADB loan is from its concessional Asian Development Fund and is repayable over 32 years, including an 8-year grace period. It carries an interest rate of 1 percent per annum during the grace period and 1.5 percent per annum thereafter.

The Ministry of Finance and Treasury is the executing agency.

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