World Bank approves $258 mln lending for Costa Rica

WASHINGTON, Sept 4 (Reuters) - The World Bank on Thursday approved a new three-year $258 million lending program for Costa Rica to help improve education, telecoms reform, infrastructure development and tackle climate change.

The program covers lending from August 2008 to December 2010 and includes $65 million in quick-disbursing funds in the event the Central American country is struck by a major natural disaster, such as a hurricane.

"The new partnership strategy for Costa Rica will support key areas of development for the country including competitiveness, disaster management and secondary education." said Laura Frigenti, World Bank country director. "The strategy includes a combination of traditional and innovative financial instruments, technical assistance and fee for services."

The World Bank also said it will also help Costa Rica prepare for participation in a new forest carbon fund that could help developing countries earn millions of dollars for protecting and replanting tropical forests.

Costa Rica is one of the first 14 countries to participate in the Forest Carbon Partnership Facility, or FCPC), launched by the World Bank last year as part of global efforts to address climate change caused by deforestation. (Reporting by Lesley Wroughton. Editing by Diane Craft)