The Hindu BusinessLine: February, 2014
New Delhi: The Asian Development Bank (ADB) and the Government of India on Tuesday signed loan agreements worth about $605 million (around Rs. 3,760 crore) for three separate projects to better rail services, power and roads in the country.
To improve rail services along some of its busiest and most critical freight and passenger transport routes, a $130 million loan was signed.
The second tranche loan is part of the $500-million Railway Sector Investment Programme approved by ADB in 2011, and will finance track components for 840 km of additional tracks along existing railway lines.
Another loan for $350 million was signed for improvement in selective transmission and distribution system to meet the growing demand of power in Madhya Pradesh.
The project will carry out physical upgrades to increase capacity and deliver power more efficiently, ADB said in a statement.
It will fund about 1,800 circuit km of transmission lines and more than 3,100 circuit km of distribution lines, as well as building or upgrading transmission and distribution substations.
To upgrade roads in the North East region, a $125.2 million loan was signed by the two parties.
The North Eastern States Roads Investment Programme is designed to reconstruct roads in Assam, Manipur, Mizoram, Tripura, Meghalaya, and Sikkim.