Friday 25 March 2011

Uttarakhand Government gets additional funding from World Bank for watershed project in Uttarakhand

Written by Anil Singh

Uttarakhand Government has received additional funding, courtesy the latest agreements between the Government of India and the World Bank. The funds amounting to IDA (International Development Association) credit of 7.98 million dollars (approx Rupees 39.9 crore) for the Government’s Decentralized Watershed Development Project, that began in 2004, will support the ongoing watershed development Project in Uttarakhand.

Notably, the fresh funds will go towards sustaining support for ongoing activities like helping farmers set up small agribusinesses. The funding is important as it goes in tandem with the Uttarakhand Government & the Central Government’s objectives of achieving the planned 10 per cent increase in rural incomes in project areas by the end of the implementation period.
The need for additional funds was brought about largely by increases in prices of goods and services since the Project began in 2004.

The IDA (International Development Association) credit provided by the World Bank's fund for the poorest has a 35 years maturity period and a 10-year grace period.

Treating the area, as a critical sector that has the potential to increase the rural incomes in the hill state; Uttarakhand is currently implementing 2 State projects together amounting to 203 million dollars or Rupees 1000 crore. This constitutes around one per cent of the total net commitments in India.

0 constructive comments: