New Delhi: The World Bank signed agreements to lend $4.2 billion (Rs19,572 crore) to fund infrastructure projects and strengthen banks in India as the government steps up investment to boost economic growth.
The agreements for three loans to the Union government, India Infrastructure Finance Co. Ltd (IIFCL) and Power Grid Corp. of India Ltd were signed on Tuesday, the finance ministry said in an emailed statement.
The World Bank will provide $1.2 billion to IIFCL by September 2015 to help build roads, ports and airports. It will give $2 billion to boost the capital of state-run banks and maintain credit growth, according to the statement.
The World Bank will lend $1 billion for power transmission projects.