The Washington-based bank is now not averse to extending loan to AP government according to the latter's priorities  ((Photo: Reuters))
The Washington-based bank is now not averse to extending loan to AP government according to the latter's priorities ((Photo: Reuters))

World Bank continues to support Andhra Pradesh with over $1 bn programme

  • The World Bank's statement comes in the backdrop of its dropping a $300 million loan proposal for the Amaravati
  • A blame game between the ruling YSR Congress and the opposition Telugu Desam Party, with each accusing the other for the bank dropping the loan proposal

AMARAVATI : The World Bank, which has dropped a loan proposal for Amaravati project, Sunday said it continues to support Andhra Pradesh with an over one billion USD programme that covers the health, agriculture, energy and disaster management sectors. This includes a new $328 million support to the state's health sector, signed with the Andhra Pradesh government on June 27, 2019, the bank said in a release. "As the new government sets its development priorities, we stand ready to provide whatever support the state and the Government of India might request," it added.

The World Bank's statement comes in the backdrop of its dropping a 300 million USD loan proposal for the Amaravati Sustainable Infrastructure and Institutional Development Project. "On July 15, the Government of India (GoI) withdrew its request to the World Bank for financing the proposed Amaravati Sustainable Infrastructure and Institutional Development Project. The World Bank's Board of Executive Directors has been informed that the proposed project is no longer under preparation following the government's decision," it noted. This has resulted in a blame game between the ruling YSR Congress and the opposition Telugu Desam Party, with each accusing the other for the bank dropping the loan proposal.

"The Washington-based bank is now not averse to extending loan to AP government according to the latter's priorities. The possibility of increasing the quantum of loan was also not ruled out by the bank," a top official in the Chief Minister's Office said. He indicated that the government might seek World Bank assistance for funding the flagship Navaratnalu programme that was aimed at improving the living standards of citizens in tune with the Sustainable Development Goals.

This story has been published from a wire agency feed without modifications to the text. Only the headline has been changed.

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