Members of the National Assembly, on Thursday ratified a D12.12 million loan agreement between the African Development Fund and The Gambia government for the Invasive Aquatic Weeds in West Africa. Presenting the loan aggrement before the National Assembly, Aja Dr Isatou Njie-Saidy, Vice-President and Secretary of State for Women Affairs, said the project seeks to reduce rural poverty and enhance household food security. She added: “The project also aims to increase land productivity, and reduce soil erosion on a sustainable basis.” She then told the NAMs that the project is sub-divided into three components- capacity building, watershed development, and project management. On the term of the loan, Vice-President Njie-Saidy said the borrower shall repay the principal of the loan over a period of 20 years, following a grace period of five years, commencing from the date of the agreement. “The borrower shall pay interest at the rate of two per cent per annum on the principal amount of the loan disbursed and outstanding from time to time,” she said. On commitment charges, Vice-President Njie-Saidy said the borrower shall pay a commitment charge at the rate of three, per annum (0.7%) on the undisbursed portion of the loan, which shall begin to accrue 125 days after the agreement. “The principal of the loan shall be repaid in equal and consecutive semi-annual instalment, the first of which shall be payable on the 1st March, or 1st September, whichever immediately follows the expiration of the grace period. The interest and commitment charges shall be payable semi-annually on 1st March, or September of each year,” she noted. She then informed the NAMs that the project implementation is expected to be completed by the end of 2011.