ADB to lend 300 mn more for infra

The finance ministry has entered into another loan agreement with the Asian Development Bank ADB for development of infrastructure in the north eastern region and on the National Highway Corridor. The size of the loan amount is 300 million. Under the agreement,ADB will extend 200 million for capital cities of the north east for their development programmes.

The first tranche of this project amounts to 30 million,which will be disbursed with the objective to improve quality of life for 1.2 million people and enhance urban productivity in the five capital cities namely Agartala Tripura,Aizwal Mizoram,Shillong Meghalaya,Kohima Nagaland and Gangtok Sikkim. The urban development ministry,through the respective state governments,would be the executing agencies.

Under the National Highway Corridor Sector I project,ADB would provide a loan of 100 million. The purpose and objective is to rehabilitate and widen priority sections of the east-west corridor,with emphasis on 662 km of existing highway in Rajasthan,Madhya Pradesh,and Uttar Pradesh. The initial loan agreement was signed on 27th October,2004,for ADBs assistance of 400 million.