Rs 7,000 crore World Bank loan for UP
By A Business Correspondent
The Uttar Pradesh Irrigation Department has been able secure a Rs 7,000 crore World Bank loan for its water restructuring project. The project is aimed at creating new irrigation facilities and strengthening about 36 lakh hectare of irrigation land under Sharada and Saryu schemes in Ghaghra-Doab region. The project would be implemented in four phases spanning over 12-15 years. Phase I was flagged off on June 14.
The project would be initially launched in underdeveloped districts of eastern and central UP, including Azamgarh, Basti, Sultanpur, Rae Bareli, Maharajganj, Bara Banki, Pratapgarh, Faizabad, Bahraich and Gonda. Later, it would be extended to other areas under second, third and fourth phases. Under phase I of the project, the State Water Resources Agency, State Water Resources Deta and Analysis Centre and State Water Regulatory Commission would be set up for effective water and irrigation management. The irrigation department would be completely revamped under the project and as per WB guidelines.
The World Bank has offered a 20-year interest free loan and the period may be further extended by another 20 years at the discretion of the World Bank.