World Bank to double India exposure to $3b in 2-3 years

Indications are that World Bank would step up loan sanction to $2.5-3 billion by 2007 from $1.7 billion during July 2003-June 2004.

World Bank’s announcement of hiking loan sanction to India comes a day later ADB expressed willingness to increase its lending to $1.7 billion from next year.

‘‘We are planning to sanction loans to 10 new projects a year,’’ Carter said, adding the thrust would be on infrastructure, HRD, rural livelihood and fiscal and structural reforms of states.

Referring to Finance Minister Jaswant Singh’s plan of heralding in a second green revolution, Carter said, ‘‘Our assessment is that—what is needed in rural development is substantial increase of investment in agriculture.’’

He said the World Bank was eager to offer assistance to India in development of rural roads, electrification, irrigation and R&D.

‘‘We are also talking to state governments of Orissa, Tamil Nadu and Punjab for fiscal and structural adjustment,’’ Carter said. PTI