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Road Ministry likely to borrow funds from World Bank

By e4p Correspondent, Saturday, September 05, 2009, 11:37 Hrs  [IST] |
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 Category: Roadways Tags: Union Ministry Road project, single lane highways, road projects | Share: Share/Save/Bookmark

The Union Ministry of Road Transport & Highways has sought financial assistance of $2.96 billion (approx Rs 14,465.52 crore) from the World Bank (WB) to develop 5,937 kms of highways.

The proposed loan is likely to cover 70 per cent of the project cost, while the remaining is expected to be provided by the Union Government. The WB funds are likely to help in expediting the pace of development of these road projects that have been identified for construction with full government funding.

According to the ministry, these road stretches have low traffic projections that demand funding by the government. Also, these highways are outside the National Highways Development Programme. The government-funded road stretches (annuity projects) include several single-lane highways connecting district headquarters in the country. These stretches are neither part of the Golden Quadrilateral highways that connect all the major metros nor part of any major arteries such as the East-West and the North-South corridors.

The government has identified 6,376 kms of road to be developed over the next few years with government funding. Out of this, 5,937 kms will be developed using the World Bank fund.


Source : ProjectsToday
 
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