The Asian Development Bank (ADB) has nominated Housing and Urban Development Corporation (Hudco) to study technical assistance for the Urban Infrastructure Fund the bank proposes to set up in India. The study, earlier being undertaken by Price Waterhouse, is scheduled to be completed by September.
Hudco chairman and managing director V Suresh said the institution would get a $300 million line of credit from the World Bank after the study is completed, to fund urban infrastructure projects.
Suresh said many commercial banks were interested in participating in Hudco's urban infrastructure financing schemes. The institution would soon tie up with some of the country's leading domestic banks for financing these projects, he added.
In the current fiscal, Hudco has set itself an assistance target of Rs 1,300 crore for urban infrastructure schemes. For the entire Ninth Plan period, it has a loan financing target of Rs 6,500 crore for urban infrastructure schemes.