Bihar has applied for loan from BRICS Bank for roads: Nitish

Bihar government has applied with the BRICS Bank for a loan to construct metallic roads in areas having population of 250 to 499, Chief Minister Nitish Kumar today said.
"We have fulfilled all formalities from our side. The BRICS Bank will now take a decision on our loan application," Kumar said addressing a function of the Rural Works Department.
BRICS Development Bank is a multilateral development bank established by the BRICS states (Brazil, Russia, India, China and South Africa) in 2014.
Kumar said the state government decided to enlarge the Centre's IAP (Integrated Action Plan) to incorporate areas having a population in the range of 500 to 250 in Maoist-affected districts with PMGSY (Pradhan Mantri Grameen Sadak Yojana).

Eleven districts of Bihar have qualified for this.
"We realised that rest 27 districts of the state should not be left out and formed a separate plan named Mukhya Mantri Gram Samparak programme, under which habitats having a population from 499 to 250 were included in the core network and work began on it," the Chief Minister said.

"Realising that funds could not be mobilised entirely through budgetary allocation within a proper time period, the state government had approached the World Bank for loan for constructing 5,000 km of roads under the Mukhya Mantri Samparak Yojana," Kumar said.
As part of the loan, World Bank would provide 70 per cent of the amount and the rest 30 per cent would be the state government's share, he said.

It was realised at a later stage that construction of 5,000 km of roads in small rural habitats would be insufficient, and it was then that the state government decided to approach the BRICS Bank for more loan, he said.
Kumar was speaking after inaugurating 947 roads and 38 bridges constructed at a cost of Rs 1571.65 crore by the Rural Works Department. He also started work on another 554 roads and 42 bridges at a cost of Rs 2305.73 crore.
State Rural Works Department minister Shailesh Kumar was present on the occasion.