NEW DELHI: India today signed the first loan agreement with the New Development Bank for USD 350 million for development and upgradation of road project in Madhya Pradesh.
The project, which is to be implemented over 5 years, is expected to improve transport connectivity to the interior regions and resultant boost to economic activity in the rural hinterland.
The agreement was signed between Government of India and the New Development Bank (NDB) and this is the first loan agreement for NDB assisted project in India, an official statement said.
The objective of the project is upgradation of major district roads in the state of Madhya Pradesh to improve connectivity of the interior areas of the state with the national and state highway networks.
"The project would include upgradation, rehabilitation or reconstruction of 1,500 km of district roads to intermediate lane, all-weather standards, with road safety features and improved road asset maintenance and management," the statement said.
The agreement was signed by Department of Economic Affairs Joint Secretary Raj Kumar on behalf of India and NDB VP and Chief Operating Officer Xian Zhu.