ADB and Government of India signed for a 275 million dollar loan under RCIP
Asian Development Bank (ADB) and Government of India signed a 275 million dollar loan for improving rural road connectivity
Asian Development Bank (ADB) and Government of India signed for a 275 million dollar loan for improving rural road connectivity in five states on 12 February 2014. The states include Assam, Chhattisgarh, Madhya Pradesh, Odisha and West Bengal.
A Joint secretary of Department of Economic Affairs, Ministry of Finance and Country Director of ADB signed the pact.
The loan is the second tranche of 800 million dollar under the Rural Connectivity Investment Programme (RCIP). The second tranche of loan will help construct 3693 km of all-weather rural roads in these five States benefiting nearly 1800 rural habitations. It is expected to be completed in June 2017.
This loan will invest in physical infrastructure, improve road design, road safety and asset management. The central government will provide counterpart funds of 81.56 million dollar for a total second tranche project investment cost of 356.56 million dollar.ADB provided 252 million dollar and the Government of India provided counterpart funds of 89 million dollar as a part of first tranche of RCIP.
Ministry of Rural Development (MoRD) is the executing agency of the project at the central level and the state governments at the state level for a period of 43 months.
About Rural Connectivity Investment Programme
Rural Connectivity Investment Programme (RCIP) is a multi-tranche financing facility (MTFF) started by Asian Development Bank (ADB).
RCIP will construct or upgrade the 9000 km of rural roads to an all-weather standard connecting around 4800 habitations in the States of Assam, Chhattisgarh, Orissa, Madhya Pradesh and West Bengal.