VIJAYAWADA: The AP Capital Region Development Authority (CRDA), which is making sustained efforts to tap funds from various development banks for the construction of capital, is expecting a positive response from the World Bank by the end of May. The CRDA officials said that they were also expecting the release of the first tranche of funds around the same time. Speaking to TNIE, a senior CRDA official said, “We are expecting to tap the funds from World Bank soon. By end of May, we expect that there will be a favourable development. We also expect that the first tranche of the loan would be released by then”. The official, however, did not specify the quantum of the tranche, but it is said to be around Rs 1,000 crore.
It may be recalled that the CRDA applied for a loan of USD 500 million (approximately Rs 3,300 crore) for the Amaravati Sustainable Capital City Development Project, and had received an in-principle approval last year. However, the World Bank had put the loan approval on hold, following complaints made by a section of farmers in the capital region, and sought six months time to decide if or not there had to be a probe into the issue.
However, officials clarified that there was no cause for concern. “It (World Bank) seemed (to be) positive when we had discussions. In fact, we are also planning to send a delegation from CRDA to meet with the bank’s representatives to showcase the progress done so far, which will support our case,” the official explained.
For the record, confusion prevailed over the WB funding when FM Arun Jaitley, in January, said that the loan was yet to be approved and that it was in the appraisal stage. This, when CRDA claimed the funds had been sanctioned. The contradictory statements led to the FinMin seeking a clarification. Later, CRDA clarified that the WB had given clearance to 30 percent components of the projects in Amaravati.