World Bank Approves USD 4.3-Billion Loans to India

The World Bank has approved USD 4.3-billion loans for four Indian projects, including USD 2 billion for recapitalization of state-owned banks.

In a release, the World Bank said that the aide would “bolster infrastructure investments, enable public sector banks to expand credit and strengthen power transmission networks to meet the growing demand”.

The four loans which the World Bank’s executive board approved yesterday are: USD 2 billion loan to enhance banks’ capital, USD 1.2 billion loan to infrastructure financing company IIFCL, USD 1 billion to help address power deficiency, and USD 150 million to better water supply in Andhra Pradesh.

Authorities of the multilateral lending agency said that the development policy loans have no conditions attached and would be doled out in a single tranche after January 1, 2010, unless the Indian government chooses it in installments.
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