India and ADB sign $110 mn loan agreement to upgrade rural roads in MP
India and the Asian Development Bank (ADB) have signed a
$110 million loan agreement to upgrade all-weather rural roads in Madhya
Pradesh under the Prime Minister's Rural Roads Programme (PMGSY).
The $110 million is the second tranche of the $500 million
Second Rural Connectivity Investment Programme for India approved by the
multilateral lending agency in December 2017.
The agreement was signed by Ministry of Finance Additional
Secretary Sameer Kumar Khare for the Indian government and ADB's India Resident
Mission Country Director Kenichi Yokoyama for the bank.
The Tranche 2 of the project will provide continued
assistance to the PMGSY by upgrading rural roads in Madhya Pradesh that will
support the government's long term goal to achieve inclusive economic growth in
ln view of increased rainfall and storm surges in Madhya
Pradesh, the road designs take into account these climate risks with measures
such as greater elevation of road embankments and slope protection.
Women were extensively consulted during the project design
and will gain some key benefits, including improved access to healthcare,
livelihoods and schooling.
The loan will improve mobility for self-employment and
livelihood opportunities in rural areas by improving access to district
The project will continue to support the government's drive
for innovative approaches to reduce costs, conserve non-renewable natural
resources and promote the use of waste materials in rural road construction.
The overall Second Rural Connectivity Investment Programme
is aimed at improving rural connectivity, safe and efficient access to
livelihood and socio-economic opportunities for communities in Assam,
Chhattisgarh, Madhya Pradesh, Odisha and West Bengal.
It plans to upgrade about 12,000 km rural roads across the
Tranche 1 loan of $250 million is currently under
implementation upgrading over 6,000 km roads.