World Bank lends India $325m for water projects (Agencies) Updated: 2005-06-24 10:03
The World Bank on Thursday approved a $325 million loan to India to improve
water irrigation and distribution systems in Maharashtra, the South Asian
country's third-most populous state.
Michael Carter, the World Bank's country director for India, said the funds
would support a government project expected to enhance irrigation coverage and
boost crop yields.
Country Director (India) of World Bank Michael
Carter speaks at a workshop Assessing the Investment Climate in Karntaka
organized by the World Bank and the Confederation of Indian Industry, in
Bangalore, India, Tuesday, June 21,
2005.[Reuters] | "As a result of this project,
farm incomes on average are expected to increase by 49 percent, and about 33,610
farm families who are fully dependent on agriculture will be brought above the
poverty line at the projects closure," Carter said.
More than half of the approximate 100 million people in Maharashtra live in
rural areas, of which about 80 percent depend on agriculture for their
livelihoods, the World Bank said. Rainfall is highly irregular in the region in
Western India, which also includes the city of Mumbai.
The World Bank's loan has a maturity of 20 years, including a five-year grace
period.
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