ADB loan India US$275mn to boost rural connectivity

The Indian government has signed a pact with 943 Asian Development Bank (ADB) for loans worth US$ 275 million, as part of its nationwide Rural Connectivity Investment Programme. The loan is the second tranche of the $800 million financing facility set aside for the project, and will be used to finance works of constructing 3,693km of rural roads in five Indian states such as West Bengal, Odisha, Madhya Pradesh, Chhattisgarh, and Assam. Further funds of $81.56 million will be financed by the government, taking the total cost for this second phase of its project to $356.56 million. The all-weather roads are due for completion in June 2017, and are expected to benefit around 1,800 rural residential areas.