APCRDA to sign agreement with World Bank, ADB for Amaravati capital city loan

In yet another step towards construction of Andhra Pradesh capital city of Amaravati, senior officials of the AP Capital Region Development Authority on Tuesday held negotiations with the representatives of the World Bank and the Asian Development Bank in New Delhi to sign an agreement for securing a loan of US $1.786 bn for the project, people familiar with the matter said on Tuesday. The loan obtained from the World Bank and the ADB will be spent on various works, including construction of trunk roads and utility ducts for essential services, stormwater drainage and flood mitigation by development of streams, retention reservoirs and flood defence system, development of roads, utilities, green spaces in land pooling system zones, provision of round-the-clock clean water supply system, creation of sewerage system, including treatment plants, construction of key public buildings using green standards, institutional strengthening and capacity building and raising finances through Innovative financing methods. Interestingly, the state government, for the first time after five years, allocated ₹3,445.33 crore for Amaravati capital city in this year’s annual budget presented in the state assembly on Monday. “The state government is planning to mobilise another ₹23,000 crore through other forms, including loans and bonds, besides grants from the central government over a period of time to complete Amaravati capital city works in the next three years,” the official quoted above added.