JK to seek cabinet nod for pact with GoI – World Bank Loan
The Jammu and Kashmir government is soon seeking a cabinet nod for entering into a pact with the Government of India on implementing the World Bank’s Rs 1500-crore reconstruction project in the state.
Official sources told that JK’s Relief and Rehabilitation Department will move a formal proposal seeking cabinet endorsement to the pact setting forth its “responsibilities and obligations” for carrying out the project.
“Once the cabinet will clear the proposal, J&K government (project implementing entity) will sign a subsidiary agreement with the GoI (recipient) to fulfill its commitments on the project,” they disclosed.
Apart from centre-state agreement, sources revealed, the WB’s lending arm—International Development Association (IDA)— would also sign a financing agreement with the Government of India for the project.
According to details shared by the WB with the Union Finance Ministry, the J&K government will have to come up elaborate institutional arrangement for implementing the project.
“Besides, the state government has to ensure that the project is carried out in accordance with provisions of WB’s anti-corruption guidelines,” the sources disclosed.
As already reported, WB’s Washington-based Board of Directors has approved US $ 250 million project for reconstruction of flood-affected public infrastructure in the State.
It has proposed US $ 80 million for reconstruction of roads and bridges, US $ 60 million for reconstruction and strengthening of critical infrastructure, US $ 50 million for urban flood management, US $ 15 million for restoration and strengthening of livelihood , US $ 25 million for strengthening disaster risk management capacity and US $ 20 million for implementation support.
J&K was hit by a devastating flood during the first week of September 2014, causing colossal loss to lives and property.
Following the floods, a team led by Union Finance Ministry officials and comprising representatives from the WB and the Asian Development Bank (ADB) visited the State on October 21, 2014 to assess the situation. Later, a mission of the WB visited the affected areas of the State between February 1-6 this year to carry out a multi-sectoral assessment of damages and needs.
The ‘impact assessment’ carried out by WB suggests that the total economic damages and losses to the state stand at Rs 211, 975 million (equivalent to approximately US $3,550.45 million).
