Chad: Agreement With World Bank Over Oil Revenues

Chad and the World Bank have reached a new agreement about how the country will use its oil revenues, ending a six-month row that jeopardised a ground-breaking scheme that aimed to set aside petrodollars for the poor.

Under the agreement, Chad said it would devote 70 percent of its budget to poverty reduction programs in the areas of health, education, agriculture, infrastructure, environment, rural development, de-mining and good governance.
Chad has also committed to work out a new poverty-reduction strategy, which would be written into law, and to create a stabilisation fund for future generations.

“We now have a good foundation for the work ahead. This is a huge step forward,” said World Bank President Paul Wolfowitz. “The Chadian authorities have committed to ensuring that all oil revenues, not just the royalties, are spent on health and education and other basic needs of the poor.”

AllAfrica