RAMALLAH, April 7, 2010 (WAFA)- The Consul General of France in Jerusalem Frederic Desagneaux, the Minister of Planning Ali Jarbawi and the director of the French Development Agency (AFD) Hervé Conan, signed on Tuesday a financing agreement amounting to €3, 2 million, representing the participation of AFD in the first round of the 'Municipal Development Program”(MDP).

The first round of the Municipal Development Program, funded by the World Bank, AFD, Germany (KfW and GTZ), Sweden and Denmark for a total of €32 million, will be implemented by the Municipal Development & Lending Fund (MDLF).

The funds will be allocated to 132 municipalities according to a distribution formula that includes a performance criterion to encourage municipalities to improve their administrative and financial management and to develop their strategic planning.

On this occasion, the Director of MDLF Nawfal Abdul-Mogni welcomed this new proof of confidence in MDLF, the main funding instrument to support municipalities in Palestine.

The Consul General of France highlighted the vital role played by Palestinian municipalities in providing services to citizens and reiterated AFD’s strong support to MDLF since 2007, which had already received a grant of 12 million Euros to develop municipal infrastructure in 11 capitals of governorates of the West Bank. This experience of multi-donor financing reflected a major effort to harmonize and coordinate international aid to the Palestinian Territory.

Following the signing ceremony, the Consul General of France, the Minister of Planning Ali Jarbawi, the Minister of Local Government Khaled Qawasmeh, the Mayor of Ramallah Janet Mikhael and the director of the French Development Agency have inaugurated one of the seven roads financed by AFD in  Ramallah, for an amount of more than €500,000, as part of its first contribution to MDLF. Qimmah Street, 500 meters long and 6 meters wide, connects two important areas of the city, Ein Misbah and Al-Irsal.

The Consul General of France then visited the stadium of Al-Bireh, the main structure of which was financed by AFD for an amount of more 600,000 Euros. Covering an area of 1120 m2, the stadium has a capacity of 7,000 seats. Completion of works is scheduled in September 2010.