Karnataka okays Rs 1,800 crore project for infrastructure

The Karnataka cabinet on Thursday approved a Rs 1,800 crore Asian Development Bank (ADB) aided project envisaging development of basic infrastructure and amenities in 20 backward cities and towns.

Briefing reporters after the meeting here, primary and secondary education minister Basavaraja Horatti stated that the project for providing drinking water and power supply, roads, health and sanitation measures, community toilet complexes and underground drainage system to the selected underdeveloped cities and towns.

The project will be implemented in Belgaum, Bellary, Gulbarga, Hubli-Dharwad, Bidar, Chamarajanagar, Davanagere, Gadag, Gokak, Haveri, Hospet, Koppal, Raichur, Nippani, Ranebennur, Basavakalyan, Jamkhandi, Yadgir, Sindhanur and Ilkal, the minister said.

The deadline for completing the projects will be 2012. "The ADB will share 60 per cent of the project cost while the state government will bear the remaining. The ADB's share will be in the form of a loan with 5.6 per cent rate of interest. The ADB has already approved the loan for the project," he added.

Among other approvals granted at the meeting were: administrative sanction to begin construction of the high court bench building at Gulbarga; construction of residential blocks for employees of New Delhi's Karnataka Bhavan at R K Puram for Rs 55 crore and extend National Rural Employment Guarantee Scheme to Gulbarga, Bidar, Raichur, Davanagere and Chitradurga districts.