The World Bank is expected to grant a loan of 250 million USD to Jammu and Kashmir for the reconstruction of infrastructure damaged due to the devastating floods in September last year.
"After the World Bank prepared and submitted the comprehensive needs assessment report on the reconstruction of infrastructure damaged by the devastating floods in September 2014, the Union Ministry of Finance has begun the process of negotiation for the first tranche of World Bank loan for Jammu and Kashmir, tentatively sized at about USD 250 million," an official spokesman said.
Finance Minister Dr Haseeb Drabu said that Finance Department will be the channelising agency for the external assistance after the finalisation of the loan negotiations and actual release of financial assistance.
While reviewing the status of externally aided projects, the Finance Minister said that a proper project management unit (PMU) will be set up in the Relief and Rehabilitation Department to carry out the actual implementation of the project through identified executing agencies.
Drabu said that establishing the PMU will allow Jammu and Kashmir to avail further World Bank assistance especially for livelihood restoration apart from putting in place best practices for disbursement and monitoring of the relief package.
