/ 15 January 2001

WORLD BANK BLOCKS LOAN TO SENEGAL

THE World Bank has blocked a loan of some $75m to Senegal intended to help with the restructuring of its energy sector, Senegalese Energy Minister Abdoulaye Bathily said. The Senegalese government in September terminated an agreement under which a Franco-Canadian consortium had taken over the management of the state electricity company, SENELEC, along with a 34% equity stake. The contract with Hydro-Quebec of Canada and France’s Suez Lyonnaise des Eaux was terminated by the government of President Abdoulaye Wade, who was elected in March. The government was reacting to the reappearance of power cuts, which used to bedevil the capital, Dakar, but which were supposed to have come to an end with the arrival of private sector management. – Reuters

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