New Development Bank to extend aid for 6,000 cr infra project

Amaravati: A delegation from New Development Bank called on Chief Minister YS Jagan Mohan Reddy at his residence at Tadepalli on Thursday. The delegation discussed the sanctioning of financial assistance to the proposed Rs 6,000 crore worth social infrastructure projects in the state, according to the information given by the Chief Minister's office. The issue is to be approved by the Board of the Bank soon.

The amount to be sanctioned will be utilised for improving the roads and social infrastructure in rural areas. Out of the total Rs 6,000 crore, the bank will sanction 70 per cent of the funds and the state government will spend the remaining 30 per cent and will have to clear the loan in 32 years.

On this occasion, Chief Minister appealed the bank representatives to sanction more loans for taking up the prestigious projects in the state. He stated that the loans are intended to develop infrastructure for schools, hospitals, clean drinking water and roads.

The state government put forth proposal seeking Rs 25,000 crore from the bank. This bank was established in 2015 by BRICS countries, which include Brazil, Russia, India, China and South Africa.

Out of all the Rs 75,000 crore loans given by the bank so far, Rs 25,000 crore were sanctioned in India alone. The New Development Bank Vice-President Ningqian Zhang led the delegation.