Nabard sanctions fund for rural infra projects

Mumbai: The National Bank for Agriculture and Rural Development (Nabard) has sanctioned Rs 3,622 crore from its Rural Infrastructure Development Fund (RIDF) to 22 State governments for implementing infrastructure projects in rural areas.

The sanctions were accorded at the 100th project sanctioning meeting of Nabard held at Gurgaon recently.

In all Nabard sanctioned 51 projects — 22 proposals related to infrastructure in agriculture/irrigation sector amounting to loan assistance of Rs 1,337 crore; 15 proposals related to roads and bridges for a loan assistance of Rs 1,596 crore; and 14 proposals related to infrastructure works in social sector with loan assistance of Rs 689 crore.

Nabard, in a press release said, the implementation of these projects would create 14.5 lakh mandays of employment during their implementation.

Following the sanction of Rs 3,622 crore, the cumulative sanction of assistance to various State governments by Nabard under RIDF I to XIV has gone up to Rs 85,663 crore, involving 3.6 lakh projects. The State governments have so far utilised Rs 50,031 crore.

State governments can avail themselves of the RIDF loan from at 6.5 per cent interest. The loan is repayable over seven years, with two years moratorium.