The United States hopes the signing of a contract to build roads and a sewer system in the Federated States of Micronesia, signals that other desperately needed infrastructure projects will soon get the go ahead.
A 27 point 5 million US dollar contract is expected to be signed this week for a Marshall Islands contractor, Pacific International to build new roads on Chuuk and to install a sewer system beneath them.
US Department of Interior official Stephen Savage says funding has been available for infrastructure projects since a Compact of Free Association went into effect in 2003.
But the FSM government didn't have projects lined up and ready to go.
"Now we probably have approximately 120 to 130 million dollars available for infrastructure funding in the fsm. this is going to be the largest project undertaken so far and its one of the first projects so we expect to chip away fairly quickly at that 130 million dollar balance."
Stephen Savage says school and kindergarten building, and a hospital renovation are other projects on the drawing board.